current ratio investment & finance definition
A frequently used indicator of short-run liquidity that measures a company's ability to pay its bills over the next 12 months. To calculate current ratio, divide current assets by current liabilities.
Current ratio
a companies current ratio is it's current assets divided by its current liabilities. The larger the number is for the current ratio the better. It expresses the companies likelyhood of being able to pay off short term debts.
Current ratio
The current ratio is a measurement of a company's ability to pay short term liabilities. The downside of this ratio is that is doesn't account for the ability to liquidate inventory.
The current ratio can be calculated as follows: ...
current ratio
The liquidity ratio that measures a company's ability to pay off short-term obligations. The higher the ratio, the more liquidity the company has.
Current ratio - some related terms:
Current assets
Current liabilities
Liquidity ...
Current ratio = current assets / current liabilities.
RELATED TERMS
Acid-Test Ratio ...
The current ratio is an indication of a firm's market liquidity and ability to meet creditor's demands. Acceptable current ratios vary from industry to industry.
Current Ratio
The current ratio simply tells you how much liquidity a firm has - in other words, how much cash it could raise if it absolutely had to pay off its liabilities all at once.
Current Ratio
Can you help us? Take a quick survey!
Total Current Assets
Current Ratio = ...
Current Ratio
Definition:
The Current assets of a Company divided by its current liabilities. Balance-sheet strength indication. Indicator of Short-term debt-paying ability. Determined by dividing current assets by current liabilities.
Current Ratio is the ratio of current assets divided by current liabilities.
Next Term:
Day Trading ...
You are here: Home → Basics → Stock Market Basics → Understanding Current Ratio
Stock Market Basics ...
Current Ratio
Provides an indication of the liquidity of the business by comparing the amount of current assets to current liabilities.
Current Ratio. A company's current ratio is a liquidity ratio calculated by dividing current assets by current liabilities. This measures the company's ability to meet current debt obligations. The higher the ratio the more liquid the company.
Current Ratio
Also referred to as the liquidity ratio, the current ratio is a measure of a company's liquidity. It provides the investor with a measure of the company's ability to pay current liabilities with current assets.
Current Ratio: This ratio measures how much coverage short term assets have over short term liabilities. A general rule of thumb is that two or better is preferable. It can be calculated as follows: ...
Current ratio
Is a measure of short-term liquidity. It measures how easily or otherwise a company can pay its short-term (i.e. within one year) commitments.
Current ratio = Current assets / Current liabilities ...
Current Ratio
The product of current assets divided by liabilities payable in one year.
Days Sales Outstanding ...
Current Ratio
An indicator of short-term debt-paying ability. It is determined by dividing current assets by current liabilities. The higher the ratio, the more liquid the company.
Current Share Price
Most recent market price of the shares.
Current ratio
The current ratio provides a speedy indication of a company's ability to meet short-term debt obligations. The higher the ratio, the more liquid the company is, and the better able it is to take care of any short-term debt.
Current Ratio: A measure of a company’s liquidity, or its ability to pay its short-term debts. Calculated by dividing current assets by current liabilities
...
Current Ratio
The current assets of a company divided by its current liabilities. Balance-sheet strength indication.
Curve
The continuous image of the unit interval.
Current Ratio or Working Capital Ratio: Current assets of a business divided by current liabilities, thus measuring how much the value of current assets exceeds its liabilities.
Current Ratio
Definition: The current ratio measures a company's ability to meet its current financial obligations by dividing its current assets (such as cash, accounts receivable, etc.) by its current liabilities.
Current Ratio
A test of a corporation's liquidity--that is, a corporation's ability to pay its current obligations from current assets. The ratio is calculated by dividing current assets by current liabilities.
Current ratio is 3.3.
Is there a Santa Clause for dividend growth investors? YES!!! ...
Current Ratio: The relationship between current assets (those that are relatively liquid and/or are likely to be turned into cash within the next year) and current liabilities (payments due within one year).
of law, whose powers and liabilities are distinct from those of its individual members current assets: Assets that can be converted to cash within a year current liabilities: Liabilities that must be paid within a year current ratio: The ...
Short-term solvency ratios Ratios used to judge the adequacy of liquid assets for meeting short-term obligations as they come due, including (1) the current ratio, (2) the acid-test ratio, (3) the inventory turnover ratio, ...
Current Ratio: This year’s current ratio exceeds that of last year.
Long-Term Debt vs. Assets: Decreased long-term debt for the current year compared to the previous year.
1) Find stocks from articles on Briefing.com site, newspaper, magazines, etc. 2) If stock concept (fast growth, growing industry) makes sense, pull research report from [online broker]. 3) If current ratio, debt/equity, and growth in line, ...
To measure the health of working capital, divide current assets by current liabilities to get the "current ratio." A current ratio of two to one or better usually indicates a solid company.
Is the current ratio 2 to 1 or better? Is the quick ratio well in excess of 1? Is the interest coverage ratio 5 to 1 or better? Is there twice as much equity as debt?
You've probably heard people banter around phrases like "P/E ratio," "current ratio" and "operating margin." But what do these terms mean and why don't they show up on financial statements?
Liquidity Measures: Net Working Capital, Current Ratio, Quick Ratio
Activity Ratios: Accounts Receivable Turnover, Inventory Turnover, Total Asset Turnover
Leverage Measures: Debt-Equity Ratios And Fixed-Charge Coverage Ratio ...
is a custom price value that computes the current ratio of the current price of IBM and MSFT and uses that ratio as a multiplier times the current price of the component instrument.
Liquidity Ratios which give you some insight on the firm's ability to meet its immediate short term financial obligations. For instance the current ratio tells you how much assets does a company have when compared to its liabilities.
Ratios used to judge the adequacy of liquid assets for meeting short-term obligations as they come due, including (1) the current ratio, (2) the acid-test ratio, (3) the inventory turnover ratio, and (4) the accounts receivable turnover ratio.
Ratios commonly used in liquidity analysis include the quick ratio, cash ratio, and the current ratio.
3. Long-Term Debt Ratios ...
Learn why this ratio may be a good alternative to the current, cash and quick ratios. The Dynamic Current Ratio
Check out this overview of how to determine and analyze a company's financial position. In Position ...
In most cases, the purchase price of the international shares will be very close to the current trading price in the country of origin, while allowing a slight adjustment for the current ratio of foreign shares to that of the ADR.
Simple Return on Equity
Beginners Guide to Financial Ratios
Beginner's Guide to Financial Statements
Calculating Enterprise Value
Return on Equity - DuPont Model
Return on Assets
Asset Turnover Ratio
Current Ratio ...
Related: Benchmark issues Current ratioThe ratio of current assets to current liabilities. Custodial feesFees charged by an institution that holds securities in safekeeping for an investor.
current ratio An indication of a firm's ability to meet short-term debt obligations; the higher... current yield In terms of investment returns, current yield divides the yearly income (dividends...
 See also: Ratio, Asset, Cash, Market, Stock
|
