Companies with inventory should compute the quick ratio. Fill in the blanks with the amounts of some of the current assets and divide them by the amount of current liabilities. Gain an understanding and be able to compare your company's quick ratio to others and to the average for your industry.
Join PRO or PRO Plus and Get Lifetime Access to Our Premium Materials
Read all 3,033 reviewsFeatures
PRO
PRO Plus
For the past 52 years, Harold Averkamp (CPA, MBA) has
worked as an accounting supervisor, manager, consultant, university instructor, and innovator in teaching accounting online. He is the sole author of all the materials on AccountingCoach.com.
Read 3,033 Testimonials
