Acid-Test Ratio Definition | Becker

Accounting Dictionary

Acid-Test Ratio

A ratio that measures an entity's ability to pay off short-term obligations using the most liquid current assets (excluding inventory). (Also called quick ratio.)

Back to Dictionary

Now Leaving Becker.com

You are leaving the Becker.com website. Once you click “continue,” you will be brought to a third-party website. Please be aware, the privacy policy may differ on the third-party website. Adtalem Global Education is not responsible for the security, contents and accuracy of any information provided on the third-party website. Note that the website may still be a third-party website even the format is similar to the Becker.com website.

Continue