Question: Why do lenders differentiate between short-term and long-term credit? How is the differentiate reflected in the ratios that they use to analyze financial statements? What

Why do lenders differentiate between short-term and long-term credit? How is the differentiate reflected in the ratios that they use to analyze financial statements?

What are the dominant ratios looked at by owners and managers? Why are owners and managers concerned with these particular ratios? How do these ratios compare with those that are the most interest to creditors?

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