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Question

Suppliers and Creditors of a firm are interested in ______.

A
Profitability Position
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B
Liquidity Position
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C
Market Share Position
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D
Debt Position
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Solution

The correct option is C Liquidity Position
Liquidity position signify the short term solvency position of the company. Suppliers and creditors are short term liabilities, they are interested to know the liquidity position.

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