Quick Ratio (QR)
Liquid assets divided by current liabilities
FORMULA
Quick Ratio = (Current Assets - Inventory) / Current Liabilities
Alternate Calculations
Cash + Receivables
(Cash + Accounts Receivable) / Current LiabilitiesWhat is Quick Ratio?
The Quick Ratio (Acid Test Ratio) measures a company's ability to meet short-term obligations using only its most liquid assets (cash, receivables). It excludes inventory, which may take time to convert to cash. A ratio above 1.0 is generally considered healthy and indicates strong short-term liquidity.
Chart
Edit the data below to update the chart. Download as PNG or SVG — free, no sign-up required.
CSV or tab-separated format · edit to update chart live · 4 rows
Sample Data
| quarter | quickAssets | currentLiabilities | ratio |
|---|---|---|---|
| Q1 | 1,200,000 | 800,000 | 1.5 |
| Q2 | 1,300,000 | 850,000 | 1.53 |
| Q3 | 1,400,000 | 900,000 | 1.56 |
| Q4 | 1,500,000 | 950,000 | 1.58 |
Required Data Columns
Current AssetsInventoryCurrent Liabilities