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Investments glossary

Overall Liquidity Ratio


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Quotes of the day:

Let me tell you something that we Israelis have against Moses. He took us 40 years through the desert in order to bring us to the one spot in the Middle East that has no oil

— Golda Meir

Overall liquidity ratio is the measurement of a company’s capacity to pay for its liabilities with its assets. The overall liquidity ratio is calculated by dividing total assets by the difference between total liabilities and conditional reserves. This ratio is used in insurance company analysis, as well as in the analysis of financial institutions.

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