MGMT 1A Ratios fully solved &
updated
current asset / current liabilities - answer current ratio
(cash + short-term investments + current receivables) / current
liabilities - answer acid-test ratio
net sales / average accounts receivable (net) - answer accounts
receivable turnover
COGS / average inventory - answer inventory turnover
accounts receivable (net) / net sales * 365 - answer days' sales
uncollected
ending inventory / COGS * 365 - answer days' sales in inventory
net sales / average total assets - answer total asset turnover
updated
current asset / current liabilities - answer current ratio
(cash + short-term investments + current receivables) / current
liabilities - answer acid-test ratio
net sales / average accounts receivable (net) - answer accounts
receivable turnover
COGS / average inventory - answer inventory turnover
accounts receivable (net) / net sales * 365 - answer days' sales
uncollected
ending inventory / COGS * 365 - answer days' sales in inventory
net sales / average total assets - answer total asset turnover
