Return on Assets
Return on Assets Return on Assets ratio indicates how profitable a company’s assets are in generating revenue. This ratio is … Read more
Finance
Return on Capital Employed
Return on Capital Employed Return on Capital Employed ratio is an indicator of the earning capacity of the capital employed … Read more
Net Profit Ratio
Net Profit Ratio is the ratio of net profit after tax to net sales. It explains per rupee profit generating … Read more
Operating Profit Ratio
Operating Profit ratio express the relationship between operating profit and sales and calculated as follows: Where Operating Profit = Net … Read more
Gross Profit Ratio : Gross Profit Margin Analysis
The gross profit ratio tells gross margin on trading. It is the gross profit expressed as a percentage of total … Read more
Profitability Indicator Ratios: Introduction
Profitability ratios are of utmost importance for a concern. These ratios give users a good understanding of how well the … Read more
Cash Ratio
What is Cash ratio Cash Ratio is the ratio of a company’s cash and liquid assets to its current liabilities. … Read more
Quick Ratio
The Acid-test or quick ratio or liquid ratio shows a firm’s ability to meet current liabilities with its most liquid assets. It measures the ability of … Read more
Liquidity Measurement Ratios: Introduction
If it is decided to study the liquidity position of the concern, then liquidity ratios are calculated. These ratios are … Read more
Current Ratio
What is Current Ratio? Current Ratio is the most widely used ratio. It compares a firm’s current assets to its … Read more