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## Credits

Softusvista Office (Pune), India
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Bhilai Institute of Technology (BIT), Raipur
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## Quick Ratio Solution

STEP 0: Pre-Calculation Summary
Formula Used
quick_ratio = (Current Assets-Inventory)/Current Liabilities
QR = (CA-I)/CL
This formula uses 3 Variables
Variables Used
Current Assets- Current assets are balance sheet accounts that represent the value of all assets that can reasonably expect to be converted into cash within one year.
Inventory- Inventory is the goods and materials that a business holds for the ultimate goal of resale.
Current Liabilities- Current Liabilities are the company debts or obligations that are due within one year.
STEP 1: Convert Input(s) to Base Unit
Current Assets: 79500 --> No Conversion Required
Inventory: 45 --> No Conversion Required
Current Liabilities: 3000 --> No Conversion Required
STEP 2: Evaluate Formula
Substituting Input Values in Formula
QR = (CA-I)/CL --> (79500-45)/3000
Evaluating ... ...
QR = 26.485
STEP 3: Convert Result to Output's Unit
26.485 --> No Conversion Required
FINAL ANSWER
26.485 <-- Quick Ratio
(Calculation completed in 00.016 seconds)

## < 7 Other formulas that you can solve using the same Inputs

Acid Test Ratio
acid_test_ratio = (Cash+Accounts Receivable+Short Term Investments)/Current Liabilities Go
Return on capital employed
return_on_capital_employed = (Earnings Before Interest and Taxes/(Total Assets-Current Liabilities))*100 Go
Business Quick Ratio
quick_ratio = (Current Assets-Inventory)/Current Liabilities Go
Inventory Turnover Ratio
inventory_turnover_ratio = Cost of goods sold/Inventory Go
Working capital
working_capital = Current Assets-Current Liabilities Go
Business Current Ratio
current_ratio = Current Assets/Current Liabilities Go
Current Ratio
current_ratio = Current Assets/Current Liabilities Go

## < 1 Other formulas that calculate the same Output

Business Quick Ratio
quick_ratio = (Current Assets-Inventory)/Current Liabilities Go

### Quick Ratio Formula

quick_ratio = (Current Assets-Inventory)/Current Liabilities
QR = (CA-I)/CL

## How to Calculate Quick Ratio?

Quick Ratio calculator uses quick_ratio = (Current Assets-Inventory)/Current Liabilities to calculate the Quick Ratio, Quick Ratio helps you to determine your immediate ability to pay your financial obligations. Quick Ratio and is denoted by QR symbol.

How to calculate Quick Ratio using this online calculator? To use this online calculator for Quick Ratio, enter Current Assets (CA), Inventory (I) and Current Liabilities (CL) and hit the calculate button. Here is how the Quick Ratio calculation can be explained with given input values -> 26.485 = (79500-45)/3000.

### FAQ

What is Quick Ratio?
Quick Ratio helps you to determine your immediate ability to pay your financial obligations and is represented as QR = (CA-I)/CL or quick_ratio = (Current Assets-Inventory)/Current Liabilities. Current assets are balance sheet accounts that represent the value of all assets that can reasonably expect to be converted into cash within one year, Inventory is the goods and materials that a business holds for the ultimate goal of resale and Current Liabilities are the company debts or obligations that are due within one year.
How to calculate Quick Ratio?
Quick Ratio helps you to determine your immediate ability to pay your financial obligations is calculated using quick_ratio = (Current Assets-Inventory)/Current Liabilities. To calculate Quick Ratio, you need Current Assets (CA), Inventory (I) and Current Liabilities (CL). With our tool, you need to enter the respective value for Current Assets, Inventory and Current Liabilities and hit the calculate button. You can also select the units (if any) for Input(s) and the Output as well.
How many ways are there to calculate Quick Ratio?
In this formula, Quick Ratio uses Current Assets, Inventory and Current Liabilities. We can use 1 other way(s) to calculate the same, which is/are as follows -
• quick_ratio = (Current Assets-Inventory)/Current Liabilities Let Others Know
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