liquidity or profitability which is most important to an organisation?

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liquidity or profitability which is most important to an organisation?

2007-01-12 01:42:46 · 3 answers · asked by glad4you 2 in Education & Reference ➔ Homework Help

3 answers

Without profitability it is difficult for a business to continue to exist whereas liquiditiy is great if they are looking to expand/grow thru acquisition....so my guess is that profitability is overal a more important measure.

2007-01-12 03:09:58 · answer #1 · answered by boston857 5 · 0⤊ 0⤋

If an organization is highly profitable it can likely manage a loan to cover liquidity. No matter how much liquidity it has, if it is unprofitable it eventually will go under.

2007-01-12 09:51:35 · answer #2 · answered by hasse_john 7 · 0⤊ 0⤋

I don't know need more information...

2007-01-12 09:47:41 · answer #3 · answered by Anonymous · 0⤊ 0⤋