The three most important accounting ratios: Why are they important?© BrainMass Inc. brainmass.com June 4, 2020, 3:20 am ad1c9bdddf
The three most important accounting ratios: Why are they important?
1. Return on assets
2. Gross margin
3. Current ratio
These three each capture the three main reasons why businesses fail. First, they run out of cash in the short run. Second, they fail to price the product reasonably above cost. Third, they fail to balance ...
Your tutorial is 247 words and gives one liquidity measure, one two profitability measures.