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The capital-to-labor ratio measures the amount of capital available per unit of labor in a production process. It signifies the level of capital intensity in an economy or industry, indicating how much machinery, equipment, or technology is used relative to the workforce. A higher ratio suggests more capital investment per worker, which can lead to increased productivity and efficiency. Conversely, a lower ratio indicates a more labor-intensive approach to production.

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TYPES OF financial statement analysis?

There are numerous financial ratios use to analyse different aspects of a company's financial performance Profitability ratios * Profitability ratios measure the firm's use of its assets and control of its expenses to generate an acceptable rate of return. * Gross margin, Gross profit margin or Gross Profit Rate * Operating margin, Operating Income Margin, Operating profit margin or Return on sales (ROS) * Profit margin, net margin or net profit margin * Return on equity (ROE) * Return on investment (ROI ratio or Du Pont ratio) * Return on assets (ROA) * Efficiency ratio * Net gearing Liquidity ratios Liquidity ratios measure the availability of cash to pay debt. * Current ratio * Acid-test ratio (Quick ratio) * Operation cash flow ratio Activity ratiosActivity ratios measure the effectiveness of the firms use of resources. * Average collection period * DSO Ratio * Average payment period * Asset turnover * Inventory turnover ratio * Receivables Turnover Ratio * Inventory conversion ratio * Inventory conversion period * Receivables conversion period * Payables conversion period Debt ratios (leveraging ratios) Debt ratios measure the firm's ability to repay long-term debt. Debt ratios measure financial leverage. * Debt ratio * Debt to equity ratio * Long-term Debt to equity (LT Debt to Equity) * Times interest-earned ratio * Debt service coverage ratio Market ratios Market ratios measure investor response to owning a company's stock and also the cost of issuing stock. * Earnings per share (EPS) * Payout ratio * Dividend cover (the inverse of Payout Ratio) * P/E ratio * Dividend yield * Cash flow ratio or Price/cash flow ratio * Price to book value ratio (P/B or PBV) * Price/sales ratio * PEG ratio


How is dependency ratio used in economics?

"The dependency ratio is used in Economics to measure the working population and non working population. It is age-population ration, and takes into account both dependents and productive populations."


What does the debt to GDP ratio measure?

It measures that amount that the country actually produces as a whole compared to the debt that the nation owes.


What are total productivity measures?

A total measure of productivity is an indicator that expresses the ratio of all outputs produced to all resources used.


How do you use the productivity ratio to measure the productivity of each administrative managers duty?

The productivity ratio can be used to measure the productivity of an administrative manager's duties by comparing output to input for specific tasks or responsibilities. This involves quantifying the results achieved, such as completed projects or processed requests, against the resources expended, like time or costs. By calculating this ratio, organizations can identify areas of efficiency and inefficiency, enabling targeted improvements in administrative processes. Regular assessment can also help in setting performance benchmarks and guiding managerial decisions.