**current ratio** — The ratio obtained when total current assets are divided by total current liabilities. A commonly used but not always good proxy for a firm s liquidity. American Banker Glossary Indicator of short term debt paying ability. Determined by dividing… … Financial and business terms

**Current ratio** — The current ratio is a financial ratio that measures whether or not a firm has enough resources to pay its debts over the next 12 months. It compares a firm s current assets to its current liabilities. It is expressed as follows: For example, if… … Wikipedia

**Current ratio** — Indicator of short term debt paying ability. Determined by dividing current assets by current liabilities. The higher the ratio, the more liquid the company. The New York Times Financial Glossary * * * current ratio current ratio ➔ ratio * * *… … Financial and business terms

**Current Ratio** — A liquidity ratio that measures a company s ability to pay short term obligations. The Current Ratio formula is: Also known as liquidity ratio , cash asset ratio and cash ratio . The ratio is mainly used to give an idea of the company s ability… … Investment dictionary

**Current Ratio** — Liquiditätsgrade sind insbesondere in der Unternehmensfinanzierung und der Finanzbuchhaltung verwendete betriebswirtschaftliche Kennzahlen, mit denen die Fähigkeit eines Unternehmens, seinen Zahlungsverpflichtungen fristgerecht nachzukommen,… … Deutsch Wikipedia

**current ratio** — working capital ratio The ratio of the current assets of a business to the current liabilities, expressed as x:1 and used as a test of liquidity. For example, if the current assets are £250,000 and the current liabilities are £125,000 the current … Accounting dictionary

**current ratio** — working capital ratio The ratio of the current assets of a business to the current liabilities, expressed as x:1 and used as a test of liquidity. For example, if the current assets are £250, 000 and the current liabilities are £125, 000 the… … Big dictionary of business and management

**current ratio** — noun : the ratio between current assets and liabilities used in appraising credit worthiness of a business * * * the ratio between current assets and current liabilities. * * * current ratio, the ratio of current assets to current liabilities … Useful english dictionary

**Current ratio** — The ratio of current assets divided by current liabilities that shows the ability of a utility to pay its current obligations from its current assets. A measure of liquidity, the higher the ratio, the more assurance that current liabilities can … Energy terms

**current ratio** — the ratio between current assets and current liabilities. * * * … Universalium