BENCHMARK VALUES FOR LIQUIDITY RATIOS IN SLOVAK AGRICULTURE

Abstract

The primary goal of the paper is to state the financial benchmark values for liquidity ratios in Slovak agriculture. Authors measured liquidity with current ratio, quick ratio and cash ratio which are the traditional way of liquidity measurement. Using descriptive statistics authors describe the liquidity performance of more than 1,100 enterprises in each period in 2004-2011. Based on the results authors can conclude that the common recommended values for liquidity ratios cannot be used for agriculture. The overall liquidity in agriculture is much lower and therefore the results presented in this article can be used as a benchmark for individual enterprises comparison.