Multiple choice general knowledge

There are 9 sub categories for Financial Ratios

  1. True

  2. False
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Financial ratios are typically categorized into fewer than 9 sub-categories. The standard classification includes 4-5 main categories: liquidity ratios, solvency/leverage ratios, profitability ratios, efficiency/activity ratios, and market value ratios. The claim of 9 sub-categories is excessive according to standard financial analysis frameworks taught in business schools.

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