Acid test ratio calculator
An acid test ratio assesses a company’s ability to cover its short-term liabilities with its most liquid assets.
Page written by AI. Reviewed internally on April 12, 2024.
An acid test ratio assesses a company’s ability to cover its short-term liabilities with its most liquid assets.
Page written by AI. Reviewed internally on April 12, 2024.
This ratio provides insight into a company’s immediate liquidity and ability to meet short-term obligations without relying on the sale of inventory. It’s an important financial metric for assessing a company’s financial health.
If you’re looking to use an acid test ratio calculator, you can input the values of cash, marketable securities, accounts receivable, and total current liabilities to obtain the ratio result. This can help you evaluate the company’s short-term financial position and its ability to handle unexpected financial challenges.
This calculator is intended for illustration purposes only and exact payment terms should be agreed with a lender before taking out a loan.
Suite 42, 4th Floor, Oriel Chambers, 14 Water Street, Liverpool, L2 8TD
View in Google MapsKingfisher Way, Silverlink Business Park, Newcastle upon Tyne, NE28 9NX, UK
View in Google MapsSuite 105A, Airivo, 18 Bennetts Hill, Birmingham, B2 5QJ
View in Google MapsAberystwyth Innovation and Enterprise Campus
Gogerddan Campus
Aberystwyth University
Ceredigion
SY23 3EE
Dogpatch Labs, The CHQ Building, Custom House Quay, Dublin, Ireland
View in Google MapsSuite 801, Level 8, 84 Pitt Street, Sydney, NSW 2000, Australia
View in Google Maps43 W 23rd St, New York, NY 10010, United States
View in Google Maps21 Dreyer Street, Cape Town, South Africa, 7708
View in Google MapsWe use necessary cookies to make our site work. You can change your cookie settings in Cookie Preferences
closeOur use of cookies
We use necessary cookies to make our site work. We'd also like to set optional third-party cookies to help us improve the experience. Using this website will set a cookie on your device to remember your preferences.
For more detailed information, please see our Cookie Policy
Necessary Cookies
These are cookies that are set by Swoop necessary for our website to function.
Third Party Cookies
These are services that are set by Third party companies in order to help us to understand and improve our website, remember preferences and to display advertising.
Necessary Cookies
We require some cookies for the operation of our website, which do not gather information about you that could be used for marketing or remembering where you have been on the internet.
For more detailed information visit our Cookie Policy
Third Party Cookies
These cookies help us to improve our website by collecting and reporting information on how you use it. The cookies collect information in a way that does not directly identify anyone.
For more detailed information visit our Cookie Policy