Question

This measures of firm financial soundness which shows how efficiently its financial resources

Answer 1

Answer:

Hey mate ✌️❣️

Explanation:

The current ratio measures your company's ability to generate cash to meet your short- term financial commitments

Hope it helps ❣️❣️

Answer 2

Financial performance measures financial soundness.

• It is a subjective indicator of a company's ability to earn revenue from its principal way of operation.
• The phenomenon is frequently employed as a broad indicator of a company's overall financial health over time.
• Key performance indicators are the further measurements that companies use to track, evaluate, and assess their financial health.
• Thus, the effectively evaluate how efficiently the company is employing its resources.