For Acid Test Ratio we have terms and definitions in 5 topics. The topics are Finance, Financial, Frauds and Scams, Investing and Securities.

Acid Test Ratio (Finance)

Also called the quick ratio, the ratio of current assets minus inventories, accruals, and prepaid items to current liabilities.

Acid Test Ratio (Financial)

Is another term to describe the Quick Asset Ratio. It measures an organization's liquidity by adjusting current assets by subtracting inventories and then dividing by the current liabilities. Is another term to describe the Quick Asset Ratio. It measures an organization's liquidity by adjusting current assets by subtracting inventories and then dividing by the current liabilities.

Acid Test Ratio (Frauds and Scams)

A ratio that tests a corporation's liquidity. It is a stricter test than if the current ratio is used. The ratio is calculated by dividing the sum of cash, cash equivalents, accounts receivable and notes receivable by the total current liabilities.

Acid Test Ratio (Investing)

A ratio that tests a corporation's liquidity. It is a stricter test than if the current ratio is used. The ratio is calculated by dividing the sum of cash, cash equivalents, accounts receivable and notes receivable by the total current liabilities.

See Also: Current Ratio; Quick Asset Ratio

Acid Test Ratio (Securities)

See Quick Ratio.

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