**The following current ratio calculator will compute and display the current ratio in the proper format. **

## Current ratio

The current ratio estimates an entity’s ability to pay its short-term debts. The current ratio formula is current assets / current liabilities.

The current ratio is one of the liquidity ratios.

**A current ratio of 1.5 to 2.0 is good, and a current ratio less than 1.0 is poor.**

See the Current Ratio Formula and Examples

## Current ratio calculator

Enter the total current assets and total current liabilities. The green boxes are editable.

Jeff Mankin teaches financial literacy and Excel. He is the founder of Finally Learn.