Cash $ 20,000 $10,000 Accounts receivable 100,000 70,000 Inventory 70,000 80,000 Other 20,000 20,000 **42 McKeon Company's debt-to-total-asset ratio at 12
The quick ratio is an indicator of a company's short term liquidity It measures the ability to pay short-term liabilities with highly liquid assets What is a Good Quick Ratio? A quick ratio of suggests that a company is adequately liquid, whereas under indicates the company may have trouble paying
เดนิส ริชาดส์ A quick ratio of would mean that a company only has £ in assets for every £1 it owes in short-term liabilities, meaning it would not have enough to meet Quick ratio or current ratio? The quick ratio is often considered a better indicator, or liquidity ratio, than current ratio of a company's debt-to-equity