Assets are a company's resources, such as inventory and equipment. They sometimes tie up a significant amount of money, so you want to make sure your small business squeezes as much benefit from them ...

Liquidity ratios assess if a company can cover short-term debts with available assets. Key ratios include cash, quick, current, and operating cash flow ratios. A liquidity ratio over 1 suggests a ...

The three financial statements that every company produces include the income statement, the balance sheet and the statement of cash flows. The cash flow statement provides information about the state ...

The defensive interval ratio (DIR) is a financial metric that can help investors assess a company's ability to meet its short-term operating expenses using its liquid assets. Also known as the basic ...

Discover how the cash asset ratio assesses company liquidity by dividing cash and marketable securities by current liabilities to measure short-term financial health.

When legendary investor Warren Buffett purchased Burlington Northern Santa Fe (BNSF) for $44 billion, he solidified the investment world’s perception of the railroad industry: a reliable, long-term ...

Learn how to calculate the overhead ratio, a key metric for understanding business cost efficiency by comparing operating expenses to income. Discover its importance.

Cash flow is a term you might hear when discussing business, but did you know it pertains to your personal finances, too? Business cash flow refers to incoming and outgoing money in a company, and its ...