Accounting ratios are financial measures that are employed to analyze a firm's performance, efficiency, and financial well-being. They facilitate informed decisions by investors, analysts, and managers through the comparison of financial statement information.

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Ratios of financial accounting ratios are significant in the process of analyzing a firm's finance performance and financial position. Ratios assist managers, investors, and stakeholders to determine profitability, liquidity, efficiency, and solvency. Examples of prevalent ratios are liquidity (current ratio of current liabilities to current assets), profitability (return on equity or ROE), and the debt-to-equity ratio in measuring financial leverage. https://www.balancify.ca/post/....introduction-to-acco

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