Name: Quick Ratio

Definition: The quick ratio is like an emergency response measure: can the company pay off short-term debts without selling any inventory? It only counts cash, short-term investments, and receivables — assets that can quickly be turned into cash. A healthy quick ratio shows strong liquidity. A very low quick ratio means the company depends on selling inventory to meet short-term obligations — which can be risky if sales unexpectedly slow down.

Interpretation:
• In '2021', PAR's quick ratio was 3.94, providing a stringent test of short-term liquidity. Industry average for Office Equipment/Supplies/Services in '2021' stood at 1.46.
• In '2022', PAR's quick ratio was 2.52, providing a stringent test of short-term liquidity. The decline from '2021' may indicate some operational or financial challenges. Industry average for Office Equipment/Supplies/Services in '2022' stood at 1.51. Industry average increased by 0.06 compared to previous year.
• In '2023', PAR's quick ratio was 1.46, providing a stringent test of short-term liquidity. The decline from '2022' may indicate some operational or financial challenges. Industry average for Office Equipment/Supplies/Services in '2023' stood at 1.31. Industry average declined by 0.20 from previous year.
• In '2024', PAR's quick ratio was 1.51, providing a stringent test of short-term liquidity. The increase since '2023' reflects strengthening financial performance. Industry average for Office Equipment/Supplies/Services in '2024' stood at 1.23. Industry average declined by 0.08 from previous year.
Overall, PAR's quick ratio has been volatile but showed a downward trend over the past 4 years.

Formula: Quick Ratio = (Current Assets - Inventory) / Current Liabilities

Good Range: Normally between 0.8 and 1.5.