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Simple English definitions for legal terms

quick-asset ratio

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A quick definition of quick-asset ratio:

The quick-asset ratio is a way to measure how easily a company can pay off its debts. It looks at how much money a company has in assets that can be quickly turned into cash, like cash on hand or accounts receivable, and compares it to the amount of money it owes in the short term. This helps investors and creditors understand how financially stable a company is and whether it can meet its financial obligations.

A more thorough explanation:

The quick-asset ratio is a financial ratio that measures a company's ability to pay off its current liabilities using its most liquid assets. It is also known as the quick ratio or acid-test ratio.

The formula for calculating the quick-asset ratio is:

Quick-Asset Ratio = (Current Assets - Inventory) / Current Liabilities

Let's say a company has $100,000 in current assets, $20,000 of which is inventory, and $50,000 in current liabilities. The quick-asset ratio would be:

Quick-Asset Ratio = ($100,000 - $20,000) / $50,000 = 1.6

This means that the company has $1.60 in liquid assets to cover each dollar of current liabilities.

Another example would be a company that has $50,000 in cash and $30,000 in accounts receivable, but $20,000 in inventory and $10,000 in prepaid expenses. Its current liabilities are $40,000. The quick-asset ratio would be:

Quick-Asset Ratio = ($50,000 + $30,000 - $20,000) / $40,000 = 1.25

This means that the company has $1.25 in liquid assets to cover each dollar of current liabilities.

These examples illustrate how the quick-asset ratio measures a company's ability to pay off its current liabilities using its most liquid assets, excluding inventory and prepaid expenses.

quick asset | quick condemnation

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21:15
Feel like I can finally stop holding my breath!! Whew!!!
[] baddestbunny
22:16
every time I get accosted by a strange man who follows me around because my male coworkers were too busy talking to walk me back to my car I get closer to saying we need to bring back traditional gender roles
Dkk
22:32
Nice! @Macaque
Dkk
22:32
@Aromatic, Have to guess.
Dkk
22:33
That sucks @Bunny do you have to go to the hospital?
[] baddestbunny
22:40
I said accosted not assaulted
23:35
guys. my notre dame address just went long is this good or bad
1a2b3c4d26z
23:37
Oooooo me too
23:37
omg is this good or bad
Dkk
23:47
Idk if gender roles are gunna fix that then.
23:49
it looks like most people who applied in october last cycle didn't get a decision until january... does it even mean anything that our addresses went long??
hows ED 2 compared to ED 1?
Dkk
0:10
No idea
windyMagician
0:34
reporting live to say my ndls address also went long
does it mean anything ^
Dkk
2:21
NDLS and Fordham took a very long time last year. It's good info for people to know.
[] baddestbunny
4:29
let’s get after it boys and girls
Dkk
5:21
I gtg to bed soon.
Dkk
5:22
Big day today. Gunna be a crazy one. I will sleep through the first half.
good morning lsd it is 5 am EST
also jazzy my ndls address went long ages ago i sadly do not think it means anything
my stanford address also went long LOL i think at most it's an indicator it's under review
WorthlessAttractiveZombie
7:44
My berkeley paragraph finally disappeared. I definitely think it is just an indicator that they are actively reviewing files, and does not mean anything about A, WL, or Rs
WorthlessAttractiveZombie
7:46
Also has anyone's date disappeared for W&L? Mine did last night
7:55
@WorthlessAttractiveZombie: mine did yesterday morning
7:56
Oops sorry I meant Vilanova. Mine disappeared last week
soapy
8:48
UMN under review! As predicted, decisions are gonna come out early December
Minus those random R decisions from UMN yesterday though right? I wonder what happened there. I don’t think I’ve seen a school start the season out with anything but As on here
almost all of my apps have been UR for 6 weeks at this point I feel exhausted waiting for them to finish
Irvine is being snobby and wont start any review until end of Nov.
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