Monday, November 8, 2010

define acid

 
The explanation to define acid check ratio is given below the following section,

Acid check ratio is otherwise known as the quick ratio. Acid check ratio is also one of the most important topic in arithmetic. Acid check ratio is mainly used for calculating the company short-term list. liquid are used for the calculation of short-term asserts. Current assert, inventories & current liabilities are used for the acid check ratio. This editorial gives the detailed description of the acid check ratio.
Explanation to Define Acid check Ratio

Formula to Define acid check ratio:

Acid check ratio = [(CA - I)/(CL)]   

Where,


    * CA = Current Assert
    * I = Inventories
    * CL = Current Liabilities
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