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
The correct answer is A
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