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Andrew Brookes/ Getty Images The acid-test ratio (ATR), also commonly known as the quick ratio, measures the liquidity of a company by calculating how well current assets can cover current ...
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SmartAsset on MSNHow Acid-Test Ratios Are Used in Business and InvestingThe acid-test ratio, also known as the quick ratio, is a liquidity ratio that is calculated by dividing a company’s most ...
The quick ratio is also commonly referred to as the “acid test” ratio. This moniker refers to a quick and simple test gold miners used to use to determine whether samples of metal were true ...
An “acid test” is a slang term for a quick test designed to produce instant results. The quick ratio measures a company’s capacity to pay its current liabilities without needing to sell its ...
What is the quick ratio? The quick ratio measures a company's ability to pay its short-term liabilities when they come due. It's also called the acid test ratio, or the quick liquidity ratio ...
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How to Calculate Acid-Test Ratio: Overview, Formula, and ExampleHow well can current assets cover current liabilities? Reviewed by Amy Drury The acid-test ratio (ATR), also commonly known as the quick ratio, measures the liquidity of a company by calculating ...
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