Template Tools
| Defensive-Interval ratio |
 |
 |
 |
|
Defensive-Interval ratio The defensive-interval ratio is a measurement of how long a company can operate using only current liquid assets. This ratio is considered a measurement of the firm's defensive or quick assets compared to daily expenditures. To calculate the defensive-interval ratio:
Defensive-interval ratio = Current liquid assets (quick assets) / Projected daily operational expenditures The defensive interval ratio is expressed in days. |
