The

Current Ratio measures the ability of the business to meet short term financial obligations with short term assets and is a useful indicator of cashflow in the near future.

In assessing company liquidity, the most commonly used measure is the

current ratio and its variations, such as the quick/acid-test ratio.

Calculate the

current ratio by dividing current assets by current liabilities.

88

current ratio that is the highest among the Table 1 firms, Bon Ton was included in a Forbes list of 10 retailers flirting with trouble (Hawkins, 2010).

The

current ratio and the quick ratio rely on the values identified as current assets and current liabilities in the Statement of Financial Position.

Also, the company said the

current ratio at fiscal year-end 2010 was 1.

For example, a

current ratio of 5 shows you have five times the current assets you need to cover the current liabilities.

Monthly loan covenant calculations (debt to tangible net worth and

current ratio calculations)

The hospital industry reacted favorably to the news that the

current ratio will hold for three more years.

Use this ratio if your client's business maintains inventory, and especially if the

current ratio is right at 1.

insisted on maintaining the

current ratio as its established right, but Japan said it wants to use the additional runway to increase the share of flights from other countries.

5) and taking the voltage to

current ratio, the equivalent impedance may be expressed as: