What is Days Cash-On-Hand?
Cfefinances
Days Cash-On-Hand is calculated as (Cash + Short-Term Investments) divided by (Current Liabilities / 365). It measures how many days a company could continue to operate on its existing cash if it received no additional revenue or financing.
Think about how many days a company could keep running on its cash alone with no new money coming in. It compares cash to average daily expenses.