Answer: Activity ratios

**Explanation:** - **Option A (Activity ratios):** Correct. Activity ratios, such as inventory turnover and total asset turnover, are positively affected by an inventory write-down because the asset base (denominator) is reduced, leading to higher turnover ratios. - **Option B (Liquidity ratios):** Incorrect. An inventory write-down reduces the carrying amount of inventory on the balance sheet, negatively impacting profitability, liquidity, and solvency ratios. - **Option C (Solvency ratios):** Incorrect. Similar to liquidity ratios, solvency ratios are adversely affected by an inventory write-down due to the reduction in both profit and the carrying amount of inventory. This question aligns with the **Financial Statement Analysis** topic, specifically addressing the implications of inventory measurement at the lower of cost and net realizable value on financial statements and ratios.

Author: LeetQuiz Editorial Team