0
What is the financial ratio used to assess a company's liquidity?
Wiki User
∙ 13y ago
The quick ratio which equals total assets/total liabilities
Answer:
Liquidity Ratios are the ratios that can be used to measure the liquidity of a company. As a rule of the thumb, all companies must have good liquidity ratios.
The four main ratios that fall under this category are:
1. Current Ratio or Working Capital Ratio
2. Acid-test Ratio or Quick Ratio
3. Cash Ratio
4. Operation Cash-flow ratio
Wiki User
∙ 13y ago
Add your answer:
Earn +20 pts
What ratio or other financial statement analysis technique will you adopt for analysis of liquidity of a firm?
What ratio or other financial statement analysis technique will you adopt for this.
What is the definition of a liquidity ratio?
Liquidity ratio are designed to test a company's ability to meet its short-term financial obligations. To find the ratio, you take Cash and Cash Equivalent + Marketable Securities + Accounts Receivable divided by Current Liabilities.
What is a mathematical tool financial managers use to assess the financial strengths and weaknesses of their firm?
ratio analysis
What is the slr ratio for bank?
SLR stands for Statutory Liquidity Ratio. Statutory Liquidity Ratio is the amount of liquid assets, such as cash, precious metals or other approved securities, that a financial institution must maintain as reserves other than the Cash with the Central Bank. The statutory liquidity ratio is a term most commonly used in India.
Which financial ratio is the most helpful when determining which company to invest money into is it liquidity profitability leverage or activity ratio.?
E/P i think,
what is liquidity ratio analysis?
it is an analysis of liquidity of a company. a company that is liquid has surplus cash remaining even after it has fulfilled its obligations. in simple terms, a company which has cash after paying off liabilities is said to have good liquidity.
What is the significance of SLR?
SLR stands for Statutory Liquidity Ratio. Statutory Liquidity Ratio is the amount of liquid assets, such as cash, precious metals or other approved securities, that a financial institution must maintain as reserves other than the Cash with the Central Bank. The statutory liquidity ratio is a term most commonly used in India.
What quick ratio indicates?
Quick ratio indicates company's liquidity and ability to meet its financial liabilities. Formula of quick ratio = (Current assets - Inventory)/Current Liabilities
Last year MBA 1 st sem quction 2005 to 2008?
What ratio would you calculate to assess liquidity and solvency position of a company ?
What is the SLR rate by RBI?
SLR stands for Statutory Liquidity Ratio. Statutory Liquidity Ratio is the amount of liquid assets, such as cash, precious metals or other approved securities, that a financial institution must maintain as reserves other than the Cash with the Central Bank. The statutory liquidity ratio is a term most commonly used in India.
What do you mean by SLR in banking?
SLR stands for Statutory Liquidity Ratio. Statutory Liquidity Ratio is the amount of liquid assets, such as cash, precious metals or other approved securities, that a financial institution must maintain as reserves other than the Cash with the Central Bank. The statutory liquidity ratio is a term most commonly used in India.
What is SLR in banking term?
SLR stands for Statutory Liquidity Ratio. Statutory Liquidity Ratio is the amount of liquid assets, such as cash, precious metals or other approved securities, that a financial institution must maintain as reserves other than the Cash with the Central Bank. The statutory liquidity ratio is a term most commonly used in India.
