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Whipsaw Glossary

Currently viewing the definition of: Quick Ratio
 
 
 quick ratio = current assets - stock / current liabilities Investments are sometimes added to current assets if they are readily realisable. The quick ratio excludes stock from current assets, as the stock may be slow moving and not readily realisable. As a result the quick ratio assesses very short-term liquidity. 
 


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    • Pyramid
      To increase the size of a speculative position based on current successes in the belief that the profitable trend will continue.