This preview has intentionally blurred sections. Sign up to view the full version.View Full Document
Unformatted text preview: unexpected cash needs. Current ratio. The current ratio is also called the working capital ratio, as working capital is the difference between current assets and current liabilities. This ratio measures the ability of a company to pay its current obligations using current assets. The current ratio is calculated by dividing current assets by current liabilities....
View Full Document
- Spring '09
- Ratio Analysis, Ratio, Liquidity Ratios Liquidity, financial statement ratio