Cash Equivalents, Restricted Cash, and Liquidity Ratios

Cash equivalent, restricted cash, and liquidity ratio pages explain the cash-like resources and strict liquidity measures analysts use to assess near-term solvency.

Use this section for cash and cash equivalents, restricted or unrestricted cash, float, cash ratio, quick ratio, and quick-liquidity ratio terms.

In this section

• Cash Ratio
  Strict liquidity ratio comparing cash and cash equivalents with current liabilities.
• CCE: Current Cash Equivalent
  An overview of Current Cash Equivalent, its importance in finance and accounting, calculations, examples, and related terminology.
• Float: Financial and Economic Contexts
  In-depth exploration of the concept of 'Float' in various financial and economic scenarios, including stock market, banking, and accounting contexts.
• Quick Liquidity Ratio: Measuring Financial Health
  A comprehensive guide to understanding the Quick Liquidity Ratio, a crucial metric for assessing a company's ability to meet its short-term obligations using its most liquid assets.
• Quick Ratio
  Liquidity ratio excluding inventory and prepaids to focus on near-cash coverage of current liabilities.
• Restricted Cash: Definition and Importance
  Restricted Cash refers to funds that are designated for specific purposes and are not available for general use. These funds are often set aside to comply with contractual or legal obligations.
• Unrestricted Cash: Definition, Function, and Examples
  Comprehensive overview of unrestricted cash, its definition, function in financial management, and practical examples. Understand how unrestricted cash differs from restricted cash and its significance in various financial contexts.