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      Question

      Fill in the blanks by selecting appropriate word/s the

      List II. List I: 1.    The _________ ratios are primarily measures of return: 2.    The _________ of business firm is measured by its ability to satisfy its short-term obligations as they become due: 3.    _________ ratios are a measure of the speed with which various accounts are converted into revenue from operations or cash: 4.    The two basic measures of liquidity are _______,_______. 5.    The _________ is a measure of liquidity which excludes _______, generally the least liquid asset. List II: a.    profitability b.    liquidity c.     activity d.    current ratio, liquid ratio e.    liquid ratio, inventory
      A 1-a, 2-b, 3-c, 4-d, 5-e Correct Answer Incorrect Answer
      B 1-a, 2-b, 3-c, 4-e, 5-d Correct Answer Incorrect Answer
      C 1-a, 2-b, 3-c, 4-d, 5-e Correct Answer Incorrect Answer
      D 1-a, 2-b, 3-d, 4-c, 5-e Correct Answer Incorrect Answer

      Solution

      The correct answer is A

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