Calculate Quick Ratio is an important financial metric used to assess a company’s liquidity and ability to meet short-term obligations. It is calculated by dividing the sum of current assets by the sum of current liabilities, and can provide insights into a company’s financial health. A quick ratio above 1.0 indicates that the company has enough liquid assets on hand to pay its short-term liabilities, while a ratio below 1.0 suggests that the company may not have adequate funds. Calculating Quick Ratio can help businesses make informed decisions on how to allocate resources and ensure their operations remain robust.