cash ratio


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Related to cash ratio: Quick ratio, Operating Cash Flow Ratio

cash ratio

n
(Banking & Finance) the ratio of cash on hand to total deposits that by law or custom commercial banks must maintain. Also called: liquidity ratio
Collins English Dictionary – Complete and Unabridged, 12th Edition 2014 © HarperCollins Publishers 1991, 1994, 1998, 2000, 2003, 2006, 2007, 2009, 2011, 2014
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Kenya Bankers Association chief executive Habil Olaka said CBK's initiatives such as raising the cash ratio, government support by easier resolution in case of debt defaulting will push commercial banks to undertake initiatives to reverse the effect of interest rate caps.
Table II also presents the descriptive statistics on three additional firm characteristics: 1) profitability, 2) cash ratio, and 3) tangibility controlled for in our analyses.
Under this theory, the firm should have an optimal level of cash ratio, which balances the marginal benefits and marginal cost of holding cash.
3: Descriptive statistics of NewConnect repurchasing companies N (number of Ratio observations) Formula Size I (thousands 64 Total assets of EUR) Size II (thousands 64 Sales revenue of EUR) Liquidity-current 64 Current assets to short ratio term liabilities Liquidity--quick 64 Cash and receivables to ratio short term liabilities Cash ratio 64 Cash to the investment expenditure ROS (%) 64 Net profit to sales revenue ROA (%) Net profit to total assets ROE (%) 64 Net profit to equity Leverage (%) 64 Total debt to Total Assets M/BV 64 Market value to book value OCF to Investment 64 Operating cash flows to investment expenditure Ratio Min.
The average liquidity ratios for construction companies (current ratio X8, quick ratio X9, cash ratio X10) never fell below the accepted minimums throughout the entire period.
Table 1 Investment Financial Analysis Ratios Short-Term Specified Ratio Solvency (Current Assets-Inventory)/Current Quick ratio Liabilities Cash ratio Cash + Cash Equivalents/Current Current ratio Liabilities Long-Term Current Assets/Current Liabilities Solvency Debt to Equity Total Liabilities/Total Equity Equity Multiplier Total Assets/Stockholder's Equity Profitability Profit Margin Net Income/Net Sales Return on Equity Net Income/Stockholder's Equity Short-Term Measurement of Ratio Solvency Ability to meet sudden cash demands.
Considering the key variables cash ratio and all control variables with 1-year lag, the sample period is from 2006-2015.
For example, if we assume 1 - q = 8 percent, the required minimum cash ratio rises sharply to 26 percent, while at 1 - q = 10 percent, the required minimum escrowed cash holding surges to 45 percent of equity value.
Another newly added feature is Pre-trade Checking, which can forbid a dealer to buy / sell a specific stock, limit the maximum holdings of a specific stock and the lowest cash ratio of a portfolio etc, ensuring all trades can be executed under the default setting made by fund manager.
The high free cash ratio indicates sufficient capability to maintain system assets from current rates.