Question: Which statement best describes the difference between liquidity ratios and solvency ratios? Group of answer choices Liquidity ratios address short-term ability to meet liabilities, solvency

Which statement best describes the difference between liquidity ratios and solvency ratios?

Group of answer choices

Liquidity ratios address short-term ability to meet liabilities, solvency addresses long-term ability to meet liabilities.

Liquidity ratios address short-term profits, solvency addresses long-term ability to meet liabilities.

Liquidity ratios address short-term ability to meet liabilities, solvency addresses long-term profits.

Liquidity ratios address long-term ability to meet liabilities, solvency addresses short-term ability to meet liabilities.

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