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liquidity ratio

British  

noun

  1. Also called: liquid assets ratio.  the ratio of those assets that can easily be exchanged for money to the total assets of a bank or other financial institution

  2. the ratio of a company's liquid assets to its current liabilities, used as a measure of its solvency

  3. another name for cash ratio

"Collins English Dictionary — Complete & Unabridged" 2012 Digital Edition © William Collins Sons & Co. Ltd. 1979, 1986 © HarperCollins Publishers 1998, 2000, 2003, 2005, 2006, 2007, 2009, 2012

Example Sentences

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At the end of last year, Panama's national banking system reported a capital adequacy ratio of 15.34% and liquidity ratio of 57%.

From Reuters • Mar. 16, 2023

Definitions and idiom definitions from Dictionary.com Unabridged, based on the Random House Unabridged Dictionary, © Random House, Inc. 2023

Idioms from The American Heritage® Idioms Dictionary copyright © 2002, 2001, 1995 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company.