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Meaning of long term liquidity ratios

 

 

 

Long term liquidity ratios

 

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Business glossary

 

Meaning of term long term liquidity ratios :

 

Long term liquidity ratios assess the performance of the capital that has been invested in the company for a longer period of time. They include the Gearing and Interest Cover ratios and measure the extent to which the capital employed in the business has been funded from loan capital and how easily the firm can cover the interest payments.

 

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Long term liquidity ratios

 

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