The doomsday ratio includes both cash and cash equivalents in the numerator.

Name: The doomsday ratio includes both cash and cash equivalents in the numerator.
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Quizplus · Accepted Answer

The doomsday ratio is calculated as the total amount of short-term liquidity sources (cash, cash equivalents, and marketable securities) divided by the daily operating expenses. Therefore, cash and cash equivalents are included in the numerator of the ratio.

The Doomsday Ratio Includes Both Cash and Cash Equivalents in the Numerator