The formula to calculate the Quick Ratio is:
\[ \text{Quick Ratio} = \frac{\text{CA} - \text{ILR}}{\text{CL}} \]
Where:
The Quick Ratio helps you to determine your immediate ability to pay your financial obligations.
Let's assume the following values:
Using the formula:
\[ \text{Quick Ratio} = \frac{79500 - 45}{30000} \]
Evaluating:
\[ \text{Quick Ratio} = 2.6485 \]
The Quick Ratio is approximately 2.6485.
| Current Assets | Inventory of Liquidity Ratio | Current Liabilities | Quick Ratio |
|---|---|---|---|
| 75000 | 40 | 30000 | 2.4987 |
| 75000 | 45 | 30000 | 2.4985 |
| 75000 | 50 | 30000 | 2.4983 |
| 80000 | 40 | 30000 | 2.6653 |
| 80000 | 45 | 30000 | 2.6652 |
| 80000 | 50 | 30000 | 2.6650 |
| 85000 | 40 | 30000 | 2.8320 |
| 85000 | 45 | 30000 | 2.8318 |
| 85000 | 50 | 30000 | 2.8317 |