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Ratio Calculation:
A 'Financial Ratio' is an index that relates two accounting numbers and is obtained by dividing one number by the other.
Various Ratios are -
1. Liquidity Ratio
2. Finanacial Leverage ratio
3. Turnover Ratio
4. Profitability Ratio
5. Market Value Ratio
What is the Ratios based on historic cost accounts Ratios based on historic cost accounts don't give a true picture of trends, due to the effects of inflation and different acc
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