------------------- is the type of ratio ratios give or bring out comparative facts
Question
------------------- is the type of ratio ratios give or bring out comparative facts
Solution
The type of ratio you are referring to is known as a Comparative Ratio. Comparative ratios are used to analyze and compare different datasets or financial statements to derive insights about performance, efficiency, and other metrics. They help in highlighting relationships and proportions among various entities, enabling stakeholders to make informed decisions.
For example, in financial analysis, you might look at ratios like the debt-to-equity ratio, which compares a company's total liabilities to its shareholder equity. This ratio provides insights into the financial leverage of the company. Similarly, the current ratio, which compares current assets to current liabilities, gives a perspective on the company's short-term liquidity.
In summary, comparative ratios serve as essential tools for evaluation and decision-making by allowing the comparison of different aspects of performance or conditions.
Similar Questions
ratios measure how effectively a firm is using its various resources to achieve profits.
The ………….. ratios provide the information critical to the long run operation of the firm.a.Liquidityb.Profitabilityc.Solvencyd.Activity
ratios measure the degree to which a firm relies on borrowed funds in its operations.
can you give me ratio problems please like they do on tests and give me their answers
ratios measure a company's ability to turn assets into cash to pay its short-term debt.
Upgrade your grade with Knowee
Get personalized homework help. Review tough concepts in more detail, or go deeper into your topic by exploring other relevant questions.