Cash & Equivalents
Cash on hand plus highly liquid short-term investments that can be turned into cash almost immediately.
What it is
Cash & Equivalents is the most liquid asset a company holds: physical cash, bank balances, and very short-term, low-risk investments (typically maturing within three months) such as Treasury bills and money-market funds. It is the first line item among current assets on the balance sheet. It does not include longer-term or marketable securities held for investment.
Why it matters
Cash is what a company uses to pay bills, fund operations, service debt, and weather downturns, so it is a direct read on short-term financial flexibility. A pitfall is assuming all cash is freely usable — some may be held overseas, pledged, or restricted, and a large cash pile can also signal a lack of reinvestment opportunities.
How it's calculated
Add cash and bank balances to short-term, highly liquid investments that are readily convertible to known amounts of cash with insignificant risk of value change (generally maturities of three months or less).
How Quintarthai uses it
Cash & Equivalents appears in the balance sheet on the Financials tab and underpins liquidity ratios on the Ratios tab at /app/.