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destiny melvin
on Nov 13, 2024

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If two companies have the same current ratio, their ability to pay short-term debt is the same.

Current Ratio

A liquidity ratio that measures a company's ability to pay off its short-term liabilities with its short-term assets.

Short-Term Debt

Financial obligations due within one year, often used to finance day-to-day operations or immediate expenses.

  • Identify and explain the significance of various financial ratios in assessing a company's financial health.
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TJ
Thuong JonesNov 16, 2024
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