Ratio analysis for the short-term


Question: Ratio analysis for the short-term is important and many of the techniques are easy to use and can provide you significant data as to the company's ability to pay short-term debt. But, will these same techniques provide you with abundant information about the current daily operations for the same period? Will the cash flow of the operations be sufficient to pay the employees each week? Explain.

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Accounting Basics: Ratio analysis for the short-term
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