9
Liquidity
Short-term liquidity measures
Money is the most important thing in the world. It represents health, strength, honour, generosity and beauty as conspicuously and undeniably as the want of it represents illness, weakness, disgrace, meanness and ugliness.
GEORGE BERNARD SHAW (1856–1950)
Short-term liquidity measures
The first test of a company’s financial position is, ‘Will it have sufficient cash over the immediate future to meet its short-term liabilities as they fall due?’ Unless the answer here is positive, the company is in a financial crisis ...
Get Key Management Ratios, 4th Edition now with the O’Reilly learning platform.
O’Reilly members experience books, live events, courses curated by job role, and more from O’Reilly and nearly 200 top publishers.
