Because the current ratio compares short-term assets directly to short-term liabilities, a ratio of 1 or more indicates that a company would be able to cover all of its short-term liabilities using ...

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Businesses may have short-term and long-term debt to finance different areas of the company. You typically have to repay short-term debt within a year. It can include money you owe for wages, accounts ...

Forbes contributors publish independent expert analyses and insights. David John Marotta is a financial advisor covering financial planning. Typically, your financial plan contains assets, liabilities ...

If you're interested in investing, you've probably read quite a few articles that say "do your homework" before buying a stock. Reading and understanding a balance sheet is part of that homework.