Can someone help me please

Which type of financial ratio statement is used to judge
how well an organization will be able to meet its short-term financial obligations? a- Debt B. Activity
c.-liquidity
D. Profitability

I have: C

correct

You are correct. See pages 307-308

To determine which type of financial ratio statement is used to judge how well an organization will be able to meet its short-term financial obligations, we can analyze the given options: a) Debt, b) Activity, c) Liquidity, and d) Profitability.

First, we need to understand the purpose of each type of financial ratio statement:

a) Debt ratios evaluate an organization's level of debt and its ability to repay it over the long term.

b) Activity ratios measure how efficiently an organization utilizes its assets to generate revenue.

c) Liquidity ratios determine an organization's ability to meet its short-term financial obligations and manage cash flow effectively.

d) Profitability ratios assess an organization's ability to generate profits from its operations.

Given that the question specifically asks about short-term financial obligations, the correct answer would be liquidity ratios (option c). These ratios provide insight into an organization's ability to pay off its current liabilities and manage its day-to-day financial obligations.

Therefore, the correct answer to the question is c) Liquidity.