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Current Ratio Calculator: Current Assets Over Liabilities

Enter current assets and current liabilities to see the current ratio, a standard test of whether a business can pay its short-term bills.

01

Your inputs

Start with the example, or enter your own values.

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02

Your result

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Enter your values and run the tool. Your result will appear here.

How to use the Current Ratio Calculator

Enter the current assets and current liabilities and the result appears straight away. Everything runs in your browser, so nothing you type is uploaded.

How it works

Calculated from the inputs shown in this tool.

Examples

  • Assets 5,000 and liabilities 2,500
    Current ratio: 2:1
  • Assets 180,000 and liabilities 120,000
    Current ratio: 1.5:1
  • Assets 40,000 and liabilities 55,000
    Current ratio: 0.72727273:1

Limitations and assumptions

Confirm assumptions, units and applicable local rules before relying on results. Detailed content, accessibility and edge-case review remains ongoing.

Frequently asked questions

What is the current ratio formula?

Current assets ÷ current liabilities.

What is a good ratio?

Above 1 means assets cover short term debts; many analysts look for 1.5 to 2, depending on the industry.

Is a very high ratio good?

Not always, it can mean idle cash or slow-moving stock.

What is the quick ratio?

A stricter test that leaves out inventory.