{
  "id": "current-ratio",
  "version": "57acd45afd56",
  "status": "published",
  "name": "Current Ratio Calculator",
  "question": "What is my current ratio?",
  "summary": "Computes the current ratio, current assets ÷ current liabilities, and the quick ratio from cash, short-term investments and receivables.",
  "category": "finance",
  "subcategory": "business",
  "url": "https://www.acalculator.org/finance/current-ratio-calculator",
  "markdown": "https://www.acalculator.org/finance/current-ratio-calculator.md",
  "kind": "function",
  "method": "Current ratio = current assets ÷ current liabilities. Quick assets = cash + short-term investments + accounts receivable. Quick ratio = quick assets ÷ current liabilities.",
  "assumptions": [
    "All amounts come from the same balance sheet; quick assets are part of current assets.",
    "Arithmetic is exact on the typed decimals; the ratios show to 2 decimals, halves up."
  ],
  "inputs": {
    "$schema": "https://json-schema.org/draft/2020-12/schema",
    "type": "object",
    "properties": {
      "ca": {
        "title": "Current assets",
        "description": "Cash, receivables, inventory and other assets expected to turn into cash within a year.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 1000000000000000
      },
      "cl": {
        "title": "Current liabilities",
        "description": "Bills, wages, short-term loans and other debts due within a year.",
        "type": "number",
        "x-unit": "USD",
        "exclusiveMinimum": 0,
        "maximum": 1000000000000000
      },
      "cash": {
        "title": "Cash and cash equivalents",
        "description": "Cash in hand and in the bank, for the quick ratio. Optional.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 1000000000000000
      },
      "sti": {
        "title": "Short-term investments",
        "description": "Marketable securities that can be sold quickly, for the quick ratio. Optional.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 1000000000000000
      },
      "ar": {
        "title": "Accounts receivable",
        "description": "Money customers owe for sales on credit, for the quick ratio. Optional.",
        "type": "number",
        "x-unit": "USD",
        "minimum": 0,
        "maximum": 1000000000000000
      }
    }
  },
  "outputs": {
    "current": {
      "label": "Current ratio",
      "description": "Current assets ÷ current liabilities.",
      "format": "number"
    },
    "quick": {
      "label": "Quick ratio",
      "description": "(Cash + short-term investments + accounts receivable) ÷ current liabilities.",
      "format": "number"
    },
    "quickAssets": {
      "label": "Quick assets",
      "description": "Cash + short-term investments + accounts receivable.",
      "format": "money"
    }
  },
  "defaultAnswer": {
    "inputs": {
      "ca": 200000,
      "cl": 100000,
      "cash": 110000,
      "sti": 20000,
      "ar": 30000
    },
    "outputs": {
      "current": 2,
      "quick": 1.6,
      "quickAssets": 160000
    },
    "text": "Current assets of $200,000.00 against current liabilities of $100,000.00 give a current ratio of 2."
  },
  "examples": [
    {
      "given": {
        "ca": 200000,
        "cl": 100000,
        "cash": 110000,
        "sti": 20000,
        "ar": 30000
      },
      "expect": {
        "current": 2,
        "quick": 1.6,
        "quickAssets": 160000
      },
      "source": "OpenStax, Principles of Finance, 6.3 Liquidity Ratios (current ratio = current assets ÷ current liabilities; quick ratio = (cash + short-term investments + accounts receivable) ÷ current liabilities; Clear Lake Sporting Goods). https://openstax.org/books/principles-finance/pages/6-3-liquidity-ratios: 200,000 ÷ 100,000 = 2; (110,000 + 20,000 + 30,000) ÷ 100,000 = 1.6"
    },
    {
      "given": {
        "ca": 48000,
        "cl": 32000,
        "cash": 9000,
        "ar": 15000
      },
      "expect": {
        "current": 1.5,
        "quick": 0.75
      },
      "source": "OpenStax, Principles of Finance, 6.3 Liquidity Ratios (current ratio = current assets ÷ current liabilities; quick ratio = (cash + short-term investments + accounts receivable) ÷ current liabilities; Clear Lake Sporting Goods). https://openstax.org/books/principles-finance/pages/6-3-liquidity-ratios; hand calculation in content.mdx: 48,000 ÷ 32,000 = 1.5; (9,000 + 0 + 15,000) ÷ 32,000 = 0.75"
    },
    {
      "given": {
        "ca": 85000,
        "cl": 120000
      },
      "expect": {
        "current": 0.7083333333333334
      },
      "source": "OpenStax, Principles of Finance, 6.3 Liquidity Ratios (current ratio = current assets ÷ current liabilities; quick ratio = (cash + short-term investments + accounts receivable) ÷ current liabilities; Clear Lake Sporting Goods). https://openstax.org/books/principles-finance/pages/6-3-liquidity-ratios; hand calculation in content.mdx: 85,000 ÷ 120,000 = 17/24 = 0.7083…"
    }
  ],
  "sources": [
    "OpenStax, Principles of Finance, 6.3 Liquidity Ratios: current ratio = current assets ÷ current liabilities; quick ratio = (cash + short-term investments + accounts receivable) ÷ current liabilities, without inventory and prepaid expenses; Clear Lake Sporting Goods (2 and 1.6). https://openstax.org/books/principles-finance/pages/6-3-liquidity-ratios (retrieved 2026-10-18)",
    "U.S. Securities and Exchange Commission, Beginners' Guide to Financial Statements: current assets are expected to turn into cash within one year; current liabilities are due within the year. https://www.sec.gov/about/reports-publications/beginners-guide-financial-statements (retrieved 2026-10-18)"
  ],
  "related": [
    "working-capital",
    "debt-to-equity",
    "inventory-turnover",
    "cash-flow"
  ],
  "changelog": []
}