COMMONLY USED FINANCIAL RATIOS:
Efficiency or Activity Ratio:
Inventory Turnover in days : (365/Cost of Goods Sold)/Average Inventory
Fixed Asset Turnover : Sales/Net, Plant, Property & Equipment
Accounts Receivable Turnover : Sales/ Accounts Receivable
Accounts Receivable Days Outstanding : 365 days/ Accounts Receivable Turnover
Accounts Receivable Turnover in Days :( 365/Credit Sales)/ Accounts Receivable
Average Payment Period : (365/Credit Purchase)/Accounts Payable
Total Asset Turnover : Sales/Total Assets
Efficiency or Activity Ratio:
Inventory Turnover in days : (365/Cost of Goods Sold)/Average Inventory
Fixed Asset Turnover : Sales/Net, Plant, Property & Equipment
Accounts Receivable Turnover : Sales/ Accounts Receivable
Accounts Receivable Days Outstanding : 365 days/ Accounts Receivable Turnover
Accounts Receivable Turnover in Days :( 365/Credit Sales)/ Accounts Receivable
Average Payment Period : (365/Credit Purchase)/Accounts Payable
Total Asset Turnover : Sales/Total Assets
