The quick ratio compares the value of a company's most liquid assets to the value of its current liabilities so investors can get a sense of how well it can cover its expenses in the short term.

The formula for the cash ratio is: cash ratio = (cash + cash equivalents) / current liabilities The quick ratio is the next level of a liquidity ratio. It adds a company's accounts receivable to ...

One of the more commonly used ratio is the acid-test ratio, or quick ratio. Image source: Getty Images. The acid-test ratio is a version of the current ratio, but it only includes the most liquid ...

The quick ratio is calculated by dividing a company's cash and accounts receivable by its current liabilities. This ratio is similar to the current ratio, but the quick ratio limits the type of ...

Because the ratio came out above 1, it looks like Apple was in a healthy position to cover all of its upcoming liabilities as of late March 2021. The current and quick ratios are extremely similar.