## Cash Ratio

What is a Cash Ratio? The cash ratio, also known as the absolute cash ratio, is one of the stringent liquidity ratios. It defines… Read Article

## How to Calculate Debt from Balance Sheet?

Before we explain how to calculate total debt from the balance sheet, it would be necessary to understand the various definitions of debt patiently.… Read Article

## Advantages and Application of Ratio Analysis

Ratio analysis is a tool to determine the financial health and operational efficiency of a company. Top management utilizes it to gauge the performance… Read Article

## Return on Equity (ROE)

Return on Equity or ROE is a profitability ratio specially meant for the equity shareholders. It is expressed in percentage (net profit/shareholder’s fund *… Read Article

## Debt to Total Asset Ratio

Debt to Asset Ratio The debt to total asset ratio indicates the percentage of total assets of the company financed from debt. It is… Read Article

## DuPont Analysis

DuPont Analysis: MeaningIt is an approach for computing return on equity (ROE) encompassing a broad level of indicators leading to this return. DuPont analysis… Read Article

## Asset Turnover Ratio (ATR)

Asset Turnover Ratio can be defined as the value of sales generated for every rupee invested in assets for a given financial year. It… Read Article

## Inventory / Stock Turnover Ratio

The inventory/stock turnover ratio is an important financial ratio to evaluate the efficiency and effectiveness of the firm’s inventory management. This ratio indicates how… Read Article

## Debtors / Receivable Turnover Ratio and Collection Period

What is Receivable Turnover? A receivable turnover ratio is one of the key turnover ratios or efficiency ratios used to analyze the performance of… Read Article

## Types of Activity / Turnover Ratios

Activity / Turnover Ratios are a set of financial ratios used to measure the efficiency of various operations of a business. Activity ratios measure… Read Article

## Net Profit Margin or Ratio

Net profit margin (NP Margin) is one of the profitability ratios and an important tool for financial analysis. It is the final output any… Read Article