Accounting Ratio
An accounting ratio is a numerical comparison derived from financial statements to evaluate a company’s performance, efficiency, or liquidity. Ratios like profitability, solvency, and liquidity provide insights into strengths and weaknesses, helping stakeholders make informed decisions. They serve as a vital tool for benchmarking and financial analysis.
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All-Purpose Financial Statement
A financial report designed for general use by a wide audience management, investors, creditors, or regulators. It usually includes standard…
All-Inclusive Income Statement
A version of the income statement that includes all items affecting net income, operating results, gains, losses, and unusual or…
Acid-Test Ratio
The acid-test ratio, also called the quick ratio, evaluates a company's short-term liquidity by measuring its ability to pay current…
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