What is the Quick Ratio? Formulas, Examples & Uses

What is the Quick Ratio? Formulas, Examples & Uses quick ratio A company with a quick ratio of 1 suggests the company can pay off its debts in 90 days or less if needed When the score dips below 1, the company does not quick ratio The Quick Ratio, also known as the Acid-Test Ratio, is a financial metric used to assess a company's short-term liquidity and its ability to

quick ratio Cash $ 20,000 $10,000 Accounts receivable 100,000 70,000 Inventory 70,000 80,000 Other 20,000 20,000 **42 McKeon Company's debt-to-total-asset ratio at 12

quickbet QUICK RATIO definition: → acid test ratio Learn more  The quick ratio measures a company's ability to pay its current liabilities by readily converting some of its current assets into cash