Business Performance Flashcards

(4 cards)

1
Q

Efficiency

A

How effectively a business is doing something over a given period of time

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2
Q

Liquidity

A

Indicates a business’ capacity to pay down its short-term liabilities

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3
Q

Profitability

A

Measure of financial gain, what revenue is retained as profit

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4
Q

Solvency

A

Measures the business’ ability to pay down debt

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