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A cash ratio equal to or bigger than a single generally suggests that a company has adequate cash and cash equivalents to entirely pay off all small-expression debts.That covenant may not stipulate exactly what the money products has to be or carry any limitations on it. For example, a mortgage might have to have a company keep a specific degree of
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of an asset or perhaps a cash‑generating device is the higher of its truthful worth fewer charges of disposal and its value in use.other things, for example illiquidity, that market place contributors would mirror in pricing the long run cash flows the entity expects to derive from your asset.Important Information and facts & Regularly R