Higher the ratio, the more favorable it is, does not stand true for operating ratio

Q.  Higher the ratio, the more favorable it is, doesn’t stand true for
- Published on 19 Oct 15

a. Operating ratio
b. Liquidity ratio
c. Net profit ratio
d. Stock turnover ratio

ANSWER: Operating ratio

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    Discussion

  • Yash Srivastava   -Posted on 01 Dec 20
    If operating ratio is ever increasing that means opearating expenses are increasing which is never a good sign for any firm.

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