Ratios - 3. Cash Conversion Cycle : Days Inventory + Days...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
http://websites.swlearning.com/cgi-wadsworth/course_products_wp.pl? 4 Ratios: Liquidity 1. Current Ratio : Current Assets/Current Liabilities Asset Management 1. Day’s Inventory : Inventory/Sales * 365 or 365/Inventory Turnover Inventory Turnover : Sales/Inventory 2. Day’s Payable : AP/Sales*365 or 365/AP Turnover AP Turnover : Sales/Accounts Payable
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Background image of page 2
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: 3. Cash Conversion Cycle : Days Inventory + Days Receivable Days Payables 4. Total Asset Turnover: Sales/Total Assets Debt Management 1. Debt/Equity Ratio : Total Liabilities/Total Equity 2. Equity Multiplier : Total Assets/Total Equity Profitability 1. Profit Margin : Net Income/Sales 2. Return on Assets : Net Income/Total Assets 3. Return on Equity : Net Income/Common Equity...
View Full Document

Page1 / 2

Ratios - 3. Cash Conversion Cycle : Days Inventory + Days...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online