Acid Test Ratio Calculator

Formula

The formula to calculate the Acid Test Ratio (ATR) is:

\[ \text{ATR} = \left( \frac{\text{Cash} + \text{Accounts Receivable} + \text{Short Term Investments}}{\text{Current Liabilities}} \right) \]

Where:

\(\text{Cash}\) is the money or currency that can be accessed immediately
\(\text{Accounts Receivable}\) is the money owed to a company by providing the services
\(\text{Short Term Investments}\) is the account in the current assets section of a company balance sheet
\(\text{Current Liabilities}\) are the company debts or obligations that are due within one year

Acid Test Ratio Conversion Table

Cash	Accounts Receivable	Short Term Investments	Current Liabilities	Acid Test Ratio
1000	1000	1000	3000	1.00
1000	1000	2000	3000	1.33
1000	1000	3000	3000	1.67
1000	1000	4000	3000	2.00
1000	1000	5000	3000	2.33
1000	2000	1000	3000	1.33
1000	2000	2000	3000	1.67
1000	2000	3000	3000	2.00
1000	2000	4000	3000	2.33
1000	2000	5000	3000	2.67
1000	3000	1000	3000	1.67
1000	3000	2000	3000	2.00
1000	3000	3000	3000	2.33
1000	3000	4000	3000	2.67
1000	3000	5000	3000	3.00
1000	4000	1000	3000	2.00
1000	4000	2000	3000	2.33
1000	4000	3000	3000	2.67
1000	4000	4000	3000	3.00
1000	4000	5000	3000	3.33
1000	5000	1000	3000	2.33
1000	5000	2000	3000	2.67
1000	5000	3000	3000	3.00
1000	5000	4000	3000	3.33
1000	5000	5000	3000	3.67
2000	1000	1000	3000	1.33
2000	1000	2000	3000	1.67
2000	1000	3000	3000	2.00
2000	1000	4000	3000	2.33
2000	1000	5000	3000	2.67
2000	2000	1000	3000	1.67
2000	2000	2000	3000	2.00
2000	2000	3000	3000	2.33
2000	2000	4000	3000	2.67
2000	2000	5000	3000	3.00
2000	3000	1000	3000	2.00
2000	3000	2000	3000	2.33
2000	3000	3000	3000	2.67
2000	3000	4000	3000	3.00
2000	3000	5000	3000	3.33
2000	4000	1000	3000	2.33
2000	4000	2000	3000	2.67
2000	4000	3000	3000	3.00
2000	4000	4000	3000	3.33
2000	4000	5000	3000	3.67
2000	5000	1000	3000	2.67
2000	5000	2000	3000	3.00
2000	5000	3000	3000	3.33
2000	5000	4000	3000	3.67
2000	5000	5000	3000	4.00
3000	1000	1000	3000	1.67
3000	1000	2000	3000	2.00
3000	1000	3000	3000	2.33
3000	1000	4000	3000	2.67
3000	1000	5000	3000	3.00
3000	2000	1000	3000	2.00
3000	2000	2000	3000	2.33
3000	2000	3000	3000	2.67
3000	2000	4000	3000	3.00
3000	2000	5000	3000	3.33
3000	3000	1000	3000	2.33
3000	3000	2000	3000	2.67
3000	3000	3000	3000	3.00
3000	3000	4000	3000	3.33
3000	3000	5000	3000	3.67
3000	4000	1000	3000	2.67
3000	4000	2000	3000	3.00
3000	4000	3000	3000	3.33
3000	4000	4000	3000	3.67
3000	4000	5000	3000	4.00
3000	5000	1000	3000	3.00
3000	5000	2000	3000	3.33
3000	5000	3000	3000	3.67
3000	5000	4000	3000	4.00
3000	5000	5000	3000	4.33
4000	1000	1000	3000	2.00
4000	1000	2000	3000	2.33
4000	1000	3000	3000	2.67
4000	1000	4000	3000	3.00
4000	1000	5000	3000	3.33
4000	2000	1000	3000	2.33
4000	2000	2000	3000	2.67
4000	2000	3000	3000	3.00
4000	2000	4000	3000	3.33
4000	2000	5000	3000	3.67
4000	3000	1000	3000	2.67
4000	3000	2000	3000	3.00
4000	3000	3000	3000	3.33
4000	3000	4000	3000	3.67
4000	3000	5000	3000	4.00
4000	4000	1000	3000	3.00
4000	4000	2000	3000	3.33
4000	4000	3000	3000	3.67
4000	4000	4000	3000	4.00
4000	4000	5000	3000	4.33
4000	5000	1000	3000	3.33
4000	5000	2000	3000	3.67
4000	5000	3000	3000	4.00
4000	5000	4000	3000	4.33
4000	5000	5000	3000	4.67
5000	1000	1000	3000	2.33
5000	1000	2000	3000	2.67
5000	1000	3000	3000	3.00
5000	1000	4000	3000	3.33
5000	1000	5000	3000	3.67
5000	2000	1000	3000	2.67
5000	2000	2000	3000	3.00
5000	2000	3000	3000	3.33
5000	2000	4000	3000	3.67
5000	2000	5000	3000	4.00
5000	3000	1000	3000	3.00
5000	3000	2000	3000	3.33
5000	3000	3000	3000	3.67
5000	3000	4000	3000	4.00
5000	3000	5000	3000	4.33
5000	4000	1000	3000	3.33
5000	4000	2000	3000	3.67
5000	4000	3000	3000	4.00
5000	4000	4000	3000	4.33
5000	4000	5000	3000	4.67
5000	5000	1000	3000	3.67
5000	5000	2000	3000	4.00
5000	5000	3000	3000	4.33
5000	5000	4000	3000	4.67
5000	5000	5000	3000	5.00

Acid Test Ratio Calculator

Formula

Acid Test Ratio Definition

Example Calculation

Acid Test Ratio Conversion Table