Ask Question
7 August, 21:17

investment ratio that measures the investor's ability to pay the property's monthly debt payments from the property's net income

+1
Answers (1)
  1. 7 August, 21:19
    0
    Quick ratio

    Explanation:

    The quick ratio measures a firm ability to pay its obligations as they become due. It indicates a company's financial strength of generating sufficient resources to pay its current liabilities. The quick ratio is also the 'acid test' ratio.

    The quick ratio shows a company's financial strength in meeting its current liabilities using 'quick' assets. A 'Quick' asset is a current asset that can be converted to cash in less than 90 days. They include cash and cash equivalents, accounts receivable, and marketable securities. The quick ratio is obtained by dividing 'quick' assets by current liabilities.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “investment ratio that measures the investor's ability to pay the property's monthly debt payments from the property's net income ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers