Cash Flow Adequacy Ratio is the performance measure of cash sufficiency. It shows whether the company has enough cash to meet its expenses. A ratio of less than one means they don't have enough cash, and above one means their cash flow is sufficient.
Cash Flow Adequacy Ratio is the performance measure of cash sufficiency. It shows whether the company has enough cash to meet its expenses. A ratio of less than one means they don't have enough cash, and above one means their cash flow is sufficient.
13.86%
Capital Adequacy Ratio
The Capital Adequacy Ratio of a bank is arrived at by comparing the sum of its Tier 1 and Tier 2 capital to its risk. The equation for expressing the Capital adequacy ratio is: CAR=(Tier 1 Capital +Tier2 Capital)/Risk weighted assets.
CAR is Capital Adequacy Ratio.
current raiot, working capital ratio, liquidity ratio, capital adequacy ratio, net asset ratio
apital adequacy ratio (CAR), also called Capital to Risk (Weighted) Assets Ratio (CRAR), is a ratio of a bank's capital to its risk. National regulators track a bank's CAR to ensure that it can absorb a reasonable amount of loss [2] and are complying with their statutory Capital requirement
this ratio assesses whether a company can pay its obligations using its cash. cash ratio is calculated using the following formula:Cash ratio = Cash and cash equivalents / Current liabilities
[1: 2] Absolute liquid assets take into account cash in hand, cash at bank, and marketable securities or temporary investments. The most favourable and optimum value for this ratio should be 1: 2. It indicates the adequacy of the 50% worth absolute liquid assets to pay the 100 percent worth current liabilities in time.
cash reserve ratio
Cash deposit ratio is with reference to a bank's the ratio of average cash balance held against total deposits of a particular branch.
Cash Ratio is a financial ratio that is used to identify the amount of a company's assets that are maintained as cash or near cash entities. This is extremely important for banks and financial institutions (If you go back to the beginning of this article to the bank - cash withdrawal example, you can now relate the fact that I was in fact talking about this ratio only)Formula:Cash Ratio = (Cash + Marketable Securities) / Current Liabilities.Companies strive to maintain a good cash ratio but at the same time try to ensure that they do not hold on to too much cash that is lying idle in their bank accounts.