One of the key indicators investors use to assess a company's financial health is the liquidity ratio. This financial metric provides insight into a company’s ability to meet its short-term ...

Profits may look good, but it's cash that pays the bills. As a small business owner, do you track the liquidity ratios of your business? You should be calculating these ratios on at least a weekly ...

Liquidity is a financial term used to describe how easily an asset can be turned into cash, and for small businesses, it shows how likely a company will be to meet its short-term obligations. Small ...

Before you jump into any investment, it’s important to determine if a company can maintain its liquidity and remain solvent over time. Liquidity and solvency ratios work together, but they shouldn’t ...

The acid-test ratio is a financial metric that assesses a company’s ability to cover short-term liabilities with its most liquid assets. A higher acid-test ratio suggests a stronger liquidity position ...

The liquidity coverage ratio was created after the 2008 financial crisis to ensure banks had sufficient liquidity to withstand temporary disruptions to funding markets. The new rule led broker-dealers ...