Formula
to calculate days of liquidity:
Days
of Liquidity = (quick assets x 365 days) / years cash
expenses.
Days
of liquidity definition and explanation:
The days
of liquidity ratio indicates the number of days that
highly liquid assets can support without further cash
coming from cash sales or collection of receivables.
The quick
assets and days of liquidity ratio calculations
are included in the financial statement ratio
analysis spreadsheets highlighted in the left column,
which provide formulas, definitions, calculation, charts
and explanations of each ratio.
The days of liquidity ratio
is listed in our liquidity
ratios.
| The days of liquidity ratio and other ratios are key
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Spreadsheets to
calculate ratios (includes formulas, definitions,
explanations and charts):
See list
of ratios , or the financial statement ratio
analysis spreadsheets which are not highlighted in the
left column, to see which other ratios our spreadsheets
calculate, define and explain.
The days of liquidity ratio
may be included in our
custom 1, 3 or 5 period financial
statement ratio analysis spreadsheet.
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calculator spreadsheet. Current, quick and
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