Quick ratio vs current ratio: the quick difference

quick ratio If the quick ratio for a company from any industry becomes less than , this indicates an existence of a risk of loss of solvency: the amount

A Quick Ratio less than one indicates potential liquidity issues, suggesting the need for the firm to increase its liquid assets to cover short- quick ratio Definition of Quick Ratio The quick ratio is a financial ratio used to gauge a company's liquidity The quick ratio is also known as the acid test ratio