Below is a current ratio calculator or working capital ratio calculator. Find a company's current assets and current liabilities from its balance sheet, and the tool will compute a current ratio.
Current Ratio Calculator
What is a company's current ratio or working capital ratio?
A current ratio is a liquidity ratio that gives an at-a-glance check on a company's ability to pay its liabilities due in the following 12 months using assets currently on the books. It shows a company's ability to pay short-term liabilities without bringing in additional cash. It's also sometimes called the working capital ratio.
A current ratio of 1 or higher means a company can likely meet its short term liquidity needs, even without further cash.
Current Ratio Formula
The current ratio formula is:
current\ ratio=\frac{current\ assets}{current\ liabilities}Where:
- Current Assets – Short-term assets listed on the company's balance sheet
- Current Liabilities – Short-term liabilities listed on the balance sheet
Other Liquidity Calculators
All liquidity calculators give a temperature check on a company's ability to stay liquid by paying off creditors on liabilities due in the next year. Here are some other tools showing liquidity ratios:
