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Financial Ratios are quantitative metrics used to assess the financial performance and health of a company by analyzing its financial statements. These ratios provide insights into various aspects of a company's operations, such as profitability, liquidity, solvency, efficiency, and valuation. They are calculated by dividing one financial metric by another to provide a meaningful comparison and facilitate decision-making for investors, analysts, and other stakeholders. Some common financial ratios include the debt-to-equity ratio, return on investment, current ratio, and earnings per share.