Cash Coverage Ratio Advanced Calculator

Cash Coverage Ratio Calculator

Cash Coverage Ratio Calculator

Cash Coverage Ratio Calculator

Component Description
Cash and Cash Equivalents The total amount of cash and liquid assets a company holds.
Operating Cash Flow The cash generated from a company’s normal business operations.
Current Liabilities The total short-term liabilities a company must pay within a year.
Cash Coverage Ratio A measure of a company’s ability to pay off its short-term liabilities with its cash and operating cash flow.
Formula Cash Coverage Ratio = (Cash and Cash Equivalents + Operating Cash Flow) / Current Liabilities
Purpose Used to assess a company’s liquidity and short-term financial health.

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