The Law Dictionary

Your Free Online Legal Dictionary • Featuring Black’s Law Dictionary, 2nd Ed.

SOLVENCY RATIOS Definition & Legal Meaning

Definition & Citations:

A comparison, mathematically, of the different elements of financial statements. 1. Current liabilities to inventory ratio. 2. Current liabilities to net worth ratio. 3. Current ratio. 4. Fixed assets to net worth ratio. 5. Quick ratio. 6. Total liabilities to net worth ratio.


This article contains general legal information but does not constitute professional legal advice for your particular situation. The Law Dictionary is not a law firm, and this page does not create an attorney-client or legal adviser relationship. If you have specific questions, please consult a qualified attorney licensed in your jurisdiction.