ratio of current assets to current liability

简明释义

流动资产与流动负债比率

英英释义

例句

1.If the ratio of current assets to current liability is below 1, the company may face financial difficulties.

如果流动资产与流动负债的比率低于1，公司可能会面临财务困难。

2.A higher ratio of current assets to current liability means better liquidity for the business.

较高的流动资产与流动负债的比率意味着企业的流动性更好。

3.The company's ratio of current assets to current liability indicates its short-term financial health.

公司的流动资产与流动负债的比率表明其短期财务健康状况。

4.Investors often look at the ratio of current assets to current liability before making a decision.

投资者在做出决策之前，通常会查看流动资产与流动负债的比率。

5.The accountant prepared a report detailing the ratio of current assets to current liability for the last quarter.

会计准备了一份报告，详细说明了上个季度的流动资产与流动负债的比率。

作文

The financial health of a business can often be assessed through various metrics, one of the most important being the ratio of current assets to current liability. This ratio is crucial for understanding a company's short-term financial stability and its ability to meet its immediate obligations. In simple terms, current assets are the assets that a company expects to convert into cash within one year, while current liabilities are the obligations that the company needs to settle within the same timeframe. Therefore, the ratio of current assets to current liability serves as a measure of liquidity, indicating how well a company can cover its short-term debts with its short-term assets.To calculate this ratio, one simply divides the total current assets by the total current liabilities. A ratio greater than one suggests that the company has more current assets than current liabilities, which is generally a positive sign. It indicates that the company is in a good position to pay off its short-term debts and can use its excess assets for growth or investment. Conversely, a ratio less than one may raise red flags for investors and creditors, signaling that the company might struggle to meet its short-term obligations.Understanding the implications of the ratio of current assets to current liability is essential for stakeholders, including investors, creditors, and management. Investors often look at this ratio to gauge the risk associated with investing in a particular company. A high ratio can attract potential investors, as it reflects a lower risk of bankruptcy in the near term. On the other hand, creditors may also use this ratio to determine the creditworthiness of a business. If a company has a low ratio, creditors might impose stricter terms on loans or deny lending altogether, fearing that the business may not be able to repay its debts.Moreover, the ratio of current assets to current liability can vary significantly across different industries. For example, companies in the retail sector may have higher current assets due to their inventory levels, while service-based companies may have fewer current assets since they rely more on receivables. Therefore, it is vital to compare this ratio with industry averages to gain a more accurate perspective on a company's financial health.In conclusion, the ratio of current assets to current liability is a fundamental financial metric that provides insight into a company's liquidity and short-term financial stability. By analyzing this ratio, stakeholders can make informed decisions regarding investments, lending, and overall business strategy. It is essential for businesses to maintain a healthy balance of current assets and liabilities to ensure they can navigate financial challenges and seize growth opportunities. As such, regular monitoring of this ratio should be integrated into the financial analysis practices of any organization aiming for long-term success.

企业的财务健康状况通常可以通过多种指标进行评估，其中最重要的指标之一是流动资产与流动负债的比率。这个比率对于了解公司的短期财务稳定性及其满足即时义务的能力至关重要。简单来说，流动资产是指公司预计在一年内转化为现金的资产，而流动负债是指公司需要在同一时间框架内偿还的义务。因此，流动资产与流动负债的比率作为流动性的一种衡量标准，表明公司如何利用短期资产来覆盖短期债务。计算这个比率的方法很简单，只需将总流动资产除以总流动负债。如果比率大于1，说明公司拥有的流动资产超过流动负债，这通常是一个积极的信号。这表明公司处于良好的位置，可以偿还其短期债务，并且可以利用多余的资产进行增长或投资。相反，如果比率小于1，则可能会引起投资者和债权人的警惕，表明公司可能会在满足短期义务方面遇到困难。理解流动资产与流动负债的比率的含义对利益相关者，包括投资者、债权人和管理层至关重要。投资者通常会查看这个比率，以评估投资某个公司的风险。较高的比率可以吸引潜在投资者，因为它反映出公司在近期破产的风险较低。另一方面，债权人也可能使用这一比率来判断企业的信用worthiness。如果一家公司的比率较低，债权人可能会对贷款施加更严格的条件，或者完全拒绝放贷，担心企业可能无法偿还其债务。此外，不同行业的流动资产与流动负债的比率可能会有显著差异。例如，零售行业的公司由于其库存水平可能具有更高的流动资产，而服务型公司由于更多依赖应收账款，可能流动资产较少。因此，将该比率与行业平均水平进行比较，对于获得公司财务健康状况的更准确视角至关重要。总之，流动资产与流动负债的比率是一个基本的财务指标，它提供了对公司流动性和短期财务稳定性的洞察。通过分析这一比率，利益相关者可以就投资、借贷和整体商业策略做出明智的决策。企业必须保持流动资产与流动负债之间的健康平衡，以确保能够应对财务挑战并抓住增长机会。因此，定期监测这一比率应纳入任何寻求长期成功的组织的财务分析实践中。