How well can current assets cover current liabilities? Reviewed by Amy Drury The acid-test ratio (ATR), also commonly known ...

The quick ratio compares the value of a company's most liquid assets to the value of its current liabilities so investors can get a sense of how well it can cover its expenses in the short term.

The quick ratio refines the current ratio ... liquidity ratios can differ somewhat depending on which assets are used in the ratio formula. They matter because they give management and potential ...

This is the formula: The resulting figure represents ... key considerations like an organization's profit margins and quick ratio, for example. The current ratio, in particular, is one way to ...

Because the ratio came out above 1, it looks like Apple was in a healthy position to cover all of its upcoming liabilities as of late March 2021. The current and quick ratios are extremely similar.