Accounting MascotAccounting Q&A

What is the quick ratio (aka the acid-test ratio)?
submitted by ANAND

Vernon K Dzwairo

It is the proportion of current assets deduct stock all over current liabilities.

diwakar

It is the ratio of quick assets to quick liabilites.

ABEL H/GIORGIS

CURRENT ASSET - INVENTORY / CURRENT LIABILITY

Bob Sledd

You can plug your numbers into the Acid Test / Quick Ratio Calculator. Check it out.

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