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Quick ratio

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Updated: Aug 20, 2021

Quick ratio

Quick ratio is used to find how fast one can turn assets into cash in order to pay for current liabilities.

Quick assets in this sense, is assets that can be converted to cash within a limited time (three to six months).


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James Knight
Editor of Education
James is a lead content editor for Invezz. He's an avid trader and golfer, who spends an inordinate amount of time watching Leicester City and the… read more.