What are four main types of financial ratios used in ratio analysis?Multiple select question.Activity ratiosTax ratiosDebt ratiosLiquidity ratiosProfitability ratiosIncome ratios
Question
What are four main types of financial ratios used in ratio analysis?Multiple select question.Activity ratiosTax ratiosDebt ratiosLiquidity ratiosProfitability ratiosIncome ratios
Solution
The four main types of financial ratios used in ratio analysis are:
- Activity Ratios
- Debt Ratios
- Liquidity Ratios
- Profitability Ratios
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