It is 12:1
9:6 6:4
this ratio assesses whether a company can pay its obligations using its cash. cash ratio is calculated using the following formula:Cash ratio = Cash and cash equivalents / Current liabilities
6:18 9:27 12:36 Basically 1 to 3
Shell ratio is a financial metric used to evaluate a company's liquidity by comparing its cash and cash equivalents with its short-term liabilities. It is calculated by dividing the sum of cash and equivalents by the total amount of short-term liabilities. A higher shell ratio indicates a company has more than enough cash to cover its short-term debts, while a lower ratio may signal potential liquidity issues.
The ratio 2/6 has the simplest form 1/3, and other equivalents are 3/9 or 4/12.
A good cash ratio for a business is typically around 0.2 to 0.5, meaning the business has enough cash to cover 20 to 50 of its current liabilities. The cash ratio can be calculated by dividing the total cash and cash equivalents by the total current liabilities of the business.
The current ratio is a key liquidity ratio that measures a company's ability to cover its short-term liabilities with its short-term assets. It complements other liquidity ratios, such as the quick ratio and cash ratio, by providing a broader view of liquidity. While the current ratio includes all current assets, the quick ratio excludes inventory, and the cash ratio focuses solely on cash and cash equivalents. Together, these ratios offer a comprehensive assessment of a company's short-term financial health and liquidity position.
The cash credit ratio is a financial metric that measures the proportion of a company's cash and cash equivalents to its total current liabilities. It indicates a firm's liquidity position and its ability to meet short-term obligations. A higher cash credit ratio suggests better liquidity, while a lower ratio may indicate potential cash flow issues. This ratio is particularly useful for assessing the financial health of businesses that rely on short-term financing.
1.2 equivalents
The cash deposit ratio (CDR) is a financial metric that measures the proportion of a bank's total deposits that are held in cash or cash-equivalent assets. It highlights a bank's liquidity position and its ability to meet withdrawal demands. The formula for calculating the cash deposit ratio is: [ \text{Cash Deposit Ratio} = \frac{\text{Cash and Cash Equivalents}}{\text{Total Deposits}} \times 100 ] This ratio is expressed as a percentage, indicating how much of the deposits are readily available in cash form.
There are an infinite number of equivalents for any fraction.
decimal equivalents to 0.300 = 0.3, 0.30