Liquidity Ratio Definition

Below please find a definition of “Liquidity Ratio”

Financial Analysis Training & Glossary TermsLiquidity Ratio: Liquidity ratio is a way of measuring a company’s liquidity and ability of the company to pay off its short-term debts. The liquidity ratio could be measured in several different ways, e.g. current ratio, acid test ratio and inventory turnover.

Free MP3 Download:  To download our free 35 minute audio interview with expert Richard C. Wilson on how to succeed in the field of finance please click here.

Fast Financial Training: If you want to take your finance or business career to the next level you should explore our financial analysis certification program, or our training programs on financial modeling, investment banking, hedge funds, or private equity. All of these programs are offered on https://BusinessTraining.com

Expand Your Financial Vocabulary: Read more finance terms and definitions

Tags:  Liquidity ratio, Acid test ratio, Inventory turnover, What is liquidity ratio?, Liquidity ratio definition, Defining liquidity ratio, Ratio, Liquidity