Archive for November, 2007

Short Term Investments Examples

short term investments examples
Question: Is the account “Other Current Assets” on a balance sheet included in a Quick Ratio (Acid-Test Ratio)?

For example, on a balance sheet:

Current Assets (in millions) -
Cash and Cash equivalents: 445
Short-Term Investments: 12
Receivables, net: 1259
Merchandise Inventories: 11731
Other Current Assets: 1227

And say Total Current Liabilities is 12706

So for a quick ratio, would I use

(445 + 12 + 1259)/12706

or do I need to include the “Other Current Assets” account for

(445 + 12 + 1259 + 1227)/12706 ?

Answer: yes

Short Term Spread Betting: Winning Strategies for Active Traders


Certificate of Deposit Categories: