What are key financial ratios?
Key financial ratios are metrics used to evaluate a company's financial performance and stability.
Can you give me examples of some important financial ratios?
Sure! Some important financial ratios include the current ratio, debt-to-equity ratio, and return on equity.
How do I calculate the current ratio?
The current ratio is calculated by dividing a company's current assets by its current liabilities.
Why is the debt-to-equity ratio important?
The debt-to-equity ratio indicates the proportion of debt and equity used to finance a company's assets, reflecting financial leverage.
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