Ratio Analysis = Current Asset / Current Liabilities
operating income vefore interest and income taxes / annual interest expense
The ratio analysis is useful for inter firm comparison which basically implies that a company compares its performance with that of its industry peers. Ratio analysis is very important in simplifying the accounting figures to make then understandable to a common man.
Marketability is a characteristic that is not generally evaluated in ratio analysis.
NNP=GNP-depreciation
1. Quick assets ratio formula Quick asset ratio = quick assets / current liabilities
cash reserve ratio
due date - due now / lead time remaining
Ratio analysis is a method which takes financial data and converts it into ratios for comparison. The data is available and calculating ratios can be accomplished with public financial statements. Calculations provide helpful for decision-making.
what is ratio analysis
operating income vefore interest and income taxes / annual interest expense
scope of ratio analysis
Sales Per Day Ratio = (Total sales you have made) divided by (The # of days your shop has been open)
the formula of calculating account receivable turnover = Net Sales/ average gross receivable
Ratio Analysis = Current Asset / Current Liabilities
Formula for calculating the area of sphere is : 4 * pi * r * r
The formula for calculating power if you are given a magnetic field is sub 43