The quick ratio is the dollar difference between total assets and total liabilities.

Name: The quick ratio is the dollar difference between total assets and total liabilities.
Brand: Quizplus
Rating: 4.9 (35 reviews)

Question

Quizplus · Accepted Answer

The quick ratio is a liquidity ratio that measures a company's ability to pay its short-term obligations using its most liquid assets, such as cash, marketable securities, and accounts receivable. It is calculated by dividing the sum of these assets by the total current liabilities.

The Quick Ratio Is the Dollar Difference Between Total Assets