The ________ ratios are primarily measures of return-

Profitability ratios are primarily measures of return.

Profitability ratios evaluate the firm's ability to generate returns relative to its sales, assets, or equity. These ratios directly measure returns earned by the business.

Key Profitability Ratios that measure return:

• Return on Investment (ROI) = $\frac{\text{Net Profit}}{\text{Capital Employed}} \times 100$
• Return on Equity (ROE) = $\frac{\text{Net Profit After Tax}}{\text{Shareholders' Equity}} \times 100$
• Return on Assets (ROA) = $\frac{\text{Net Profit}}{\text{Total Assets}} \times 100$

These ratios indicate how effectively the business generates returns from its resources.

Why other options are incorrect:

Liquidity ratios measure the firm's ability to meet short-term obligations (Current Ratio, Quick Ratio).

Activity ratios measure efficiency in utilizing assets (Inventory Turnover, Debtors Turnover).

Debt ratios measure the extent of borrowed funds and ability to service debt (Debt-to-Equity Ratio, Interest Coverage Ratio).

None of these directly measure returns generated by the business.