Current ratio

Current ratio, excluding deferred revenue from the liabilities

One of the 61 measures in Stock Scorer, under Resilience — Can the balance sheet absorb a bad year?

How it is worked out

Current assets ÷ (current liabilities − deferred revenue)

Current means due, or convertible to cash, within a year. Deferred revenue is taken out of the liabilities because money customers have already paid is a promise to deliver, not a bill that has to be settled in cash.

How to read it

3.0 earns a 10, 1.0 a 1

Which figures it needs

Computed from 3 figures taken from the filing:

• current_assets
• current_liabilities
• deferred_revenue

The XBRL tags behind it

These are the element names looked for in a filing, in order. The first one a company reports is the one used, and the company page names which it was — so any figure here can be checked against the filing it came from.

• AssetsCurrent
• CurrentAssets
• LiabilitiesCurrent
• CurrentLiabilities
• ContractWithCustomerLiabilityCurrent
• DeferredRevenueCurrent

Whether it counts

This measure is counted in Resilience by default. It can be taken out on the dashboard, and the dimension is then measured over whatever is left.