The measure of a company's ability to pays its debts quickly is called
Answer Details
The measure of a company's ability to pay its debts quickly is called the "acid test ratio." This ratio measures the ability of a company to meet its short-term liabilities with its current assets that can be easily converted into cash, such as cash, marketable securities, and accounts receivable. A higher acid test ratio indicates a better ability to pay off short-term debts and is generally considered to be a good indicator of a company's financial health.