Sound financial management is necessary in a small business -- to make the most of your assets, you need to properly account for them. The quick ratio is a simple financial ratio that can help you to ...

The quick ratio, also known as the acid-test ratio, measures a company's ability to pay off its current debt. Current debt includes any liabilities coming due within a year, like accounts payable and ...

Liquidity ratios reveal a company's capability to cover short-term debts using available assets. Important types include the cash ratio, quick ratio, current ratio, and operating cash flow ratio. A ...