CASH RATIO Definition

Bookmark and Share

CASH RATIO is a refinement to the QUICK RATIO. It is the ratio of cash and marketable securities to current liabilities. The CASH RATIO indicates the extent to which liabilities could be liquidated immediately. Sometimes called LIQUIDITY RATIO.

Learn new Accounting Terms

EXCHANGE RATE MECHANISM (ERM) is the precursor to the European Union's single currency (Euro) by which participating governments committed themselves to maintain the value of their currencies in relation to the European currency unit (Euro).

RESTRICTION CONTROL, in accounting, is one type of inference control over output from a database.  To prevent a user who has access only to summary information from inferring details of a particular record the user can see the results from only five or more records combined, not fewer than five records.

Suggest a Term

Enter Search Term

Enter a term, then click the entry you would like to view.