A cash flow coverage ratio should generally be at least 1.5; a ratio closer to 1 indicates a corporation may struggle to cover debt payments, which means it will have to cut other expenses.

and marketable securities), the numerator for the current ratio includes all current assets (cash, cash equivalents, accounts receivable, marketable securities, inventory, and prepaid expenses).

This ratio essentially answers the question, “How many days could this organization continue to operate if it stopped ...

Cash comes in from sales, loan proceeds, investments and the sale of assets and goes out to pay for operating and direct expenses, principal debt service, and the purchase of asset Cash comes in ...

the outflow of expenses resulting from operating, investing and financing activities during a specific time period Cash flow statements and projections express a business's results or plans in ...