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Ratio Analysis Of Cheart Cement Company

LIQUIDITY RATIO
A liquid form is one that can easily make its short term obligations as they come due . given that current assets represent short term resources and current liabilities represents short term obligations how might you go about accessing a firm liquidity.

The liquidity of a business firm is measured by its ability to satisfy its short term obligations as the come due liquidity refers to the solvency of the firms over all financial position the ease with which it can pay it bills the measures of liquidity are

2007 2008
NWC = Current Assets âˆ' Current Liabilities NWC = Current Assets âˆ' Current Liabilities

= 1,240,430 - 542,025 = 1,719,948 - 1,597,703
= 698,405 = 122,245......


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Approximate Word Count: 1748
Approximate Pages: 7 (250 words per double-spaced page)

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