Discover how the cash asset ratio assesses company liquidity by dividing cash and marketable securities by current liabilities to measure short-term financial health.

Financial matters need to be handled carefully for an organization to perform well. Your organization can use ratio analysis to evaluate its financial status and gauge its performance. Ratio analysis ...

A current ratio is an accounting formula that defines a company's ability to meet its immediate and short-term obligations. The current ratio, sometimes called the liquidity ratio or the working ...

Before you jump into any investment, it's important to determine if a company can maintain its liquidity and remain solvent over time. Liquidity and solvency ratios work together, but they shouldn't ...

The ability of a company to convert short-term assets into cash is one of the primary concerns of financial managers because liquidity problems can have a big impact on operational efficiency and ...

Liquidity ratios assess if a company can cover short-term debts with available assets. Key ratios include cash, quick, current, and operating cash flow ratios. A liquidity ratio over 1 suggests a ...