Site Search

Course Navigation

Home| Course Catalog| Career Planning

FREE online courses on Financial Ratio Analysis - Question 1


How liquid is the firm?


The liquidity of a business is defined as its ability to meet maturing debt obligations.  That is, does or will the firm have the resources to pay the creditors when the debt comes due? 


There are two ways to approach the liquidity question. 

1.      We can look at the firm's assets that are relatively liquid in nature and compare them to the amount of the debt coming due in the near term.

2.      We can look at how quickly the firm's liquid assets are being converted into cash. 



Our Network Of Sites:
Apply 4              |  |  |
Anatomy                | Anesthesiology  | Architecture | Audiology
Cardiology            | Computer Science| Computer Science| Dermatology
Epidemiology         | Gastroenterology  | Hematology     | Immunology
IT                | Kinesiology  | Language  | Music
Nephrology             | Neurology  | Neurosurgery | Obstetrics
Oncology    | Ophthalmology | Orthopedics       | Osteopathy
Otolaryngology| Pathology  | Pediatrics  | Physical Therapy
Plastic Surgery| Podiatry  | Psychiatry   | Pulmonary 
Radiology| Sports Medicine| Surgery | Toxicology
US Law| US Med | US Dental

About Us Terms of Use | Contact Us | Partner with Us | Press Release | Sitemap | Disclaimer | Privacy Policy

©1999-2011 OpenLearningWorld . com - All Rights Reserved