Total dollar value of cash and marketable securities divided by current liabilities. For a bank this is the cash held by the bank as a proportion of deposits in the bank. The cash ratio measures the extent to which a corporation or other entity can quickly liquidate assets and cover short-term liabilities, and therefore is of interest to short-term creditors. also called liquidity ratio or cash asset ratio.
Related information about cash ratio:
- Cash Ratio Definition | Investopedia
The cash ratio is most commonly used as a measure of company liquidity. ... A strong cash ratio is useful to creditors when deciding how much debt, if any, they ...
- Liquidity Measurement Ratios: Cash Ratio | Investopedia
The cash ratio is also a liquidity indicator but more refined than current or quick ratio. More on this and calculations in this section.
- Cash Ratio Formula - Measuring Liquidity
Full explanation of this financial statement analysis method, where and how it can be used. Includes links to more financial management and corporate strategy ...
- Cash Ratio
Cash ratio (also called cash asset ratio) is the ratio of a company's cash and cash equivalent assets to its total liabilities. Cash ratio is a refinement of quick ratio ...
- Cash Ratio - Liquidity Ratio - Cash Ratio Formula - Financial Ratio ...
The cash ratio is the most stringent and conservative of all the financial ratio analysis liquidity ratios.
- Cash Ratio - Financial Dictionary - The Free Dictionary
Definition of Cash Ratio in the Financial Dictionary - by Free online English dictionary and encyclopedia. What is Cash Ratio? Meaning of Cash Ratio as a ...
- What is cash ratio? definition and meaning
Definition of cash ratio: Total dollar value of cash and marketable securities divided by current liabilities. For a bank this is the cash held by the bank as a ...
- Cash Asset Ratio or Cash Ratio | Liquidity Ratios
The cash asset ratio is used to measures the corporations ability to quickly liquidate assets and cover short-term liabilities. The cash asset ratio is typically of ...