Accounting
Accounts Receivable Turnover
Measures how quickly a company collects outstanding debt form customer
Net Credit Sales / Average Accounts Received
Acounts Payable Turnover
measure how quickly a company pay the suppliers
Total Supplier Purchase /Average Accounts Payable
Debt-to-Equity Ratio
Measures the proportion of a company's financial that comes from debt versus equity
Total Debt/ Total Equity
Gross Profit Margin
Measures the percentage of revenue that is left over deducted the cost of goods sold
Cost of Goods Sold / Revenue
Net Profit Margin
measures the percentage of revenue that is left over after deducting all expenses including taxes
Net Income / Revenue
Return on Assets (ROA)
measures how efficiently a company uses its assets to generate profits
Net Income / Total Assets
Return on Equity (ROE)
measures how much profit a company generates with money shareholders have invested
Net Income / Total Equity
Inventory Turnover
measures the number of time inventory is sold and replaced during a period
Cost of Good Sold / Average Inventory
Fixed Asset Turnover
Measures how effectively a company uses its fixed assets to generate sales
Revenue / Net Fixed Assets