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Current Ratio Calculator
Measure a company’s ability to pay short-term obligations by comparing its current assets to current liabilities.
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What is the current ratio?
The current ratio is a common liquidity measure showing whether a company has enough short-term assets to cover its short-term liabilities. It’s one of the most widely used indicators of a company’s financial health.
The formula
Current Ratio = Current Assets / Current Liabilities. A ratio above 1 generally indicates the company can cover its short-term debts; a ratio between 1.5 and 3 is often considered healthy, though ideal levels vary by industry.
This calculator is for general financial education and analysis purposes.
Last reviewed August 2026