The current ratio is calculated by dividing a company’s current assets by its current liabilities. Ratios of 1 or higher indicate short-term solvency.

Discover how capital adequacy and solvency ratios assess financial stability. Learn their differences and applications to ...

A debt-to-equity ratio is a number calculated by dividing a company's total debt by the value of its shareholders' equity. A debt-to-equity ratio is one data point used by investors and lenders to ...

The asset turnover ratio compares a company's total average assets to its total sales. The ratio helps investors determine how efficiently a company is using its assets to generate sales. The success ...