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Episode 3 is split into four parts; each segment will be discussing a different Liquidity KPI. You'll learn about how that metric impacts your client’s business and what it can do for your advisory services.
The Current Liabilities Ratio is a measure of all debt and obligations of a business due within one year against total liabilities. While this isn’t the most popular KPI to monitor for liquidity, it is still important to understand this does impact the company’s bottoms line.
The formula: (Current Liabilities / Total Liabilities)
Episode 3 is split into four parts; each segment will be discussing a different Liquidity KPI. You'll learn about how that metric impacts your client’s business and what it can do for your advisory services.
The Current Liabilities Ratio is a measure of all debt and obligations of a business due within one year against total liabilities. While this isn’t the most popular KPI to monitor for liquidity, it is still important to understand this does impact the company’s bottoms line.
The formula: (Current Liabilities / Total Liabilities)