Current Assets

Current Ratio=
Current Liabilities

Current Assets−Inventory
Quick Ratio∨ Acid Test Ratio=
Current Liabilities

Total Liabilities
Debt Ratio=
Total Assets

EBIT
¿ Interest Earned Ratio=
Interest Expense

Cost of Goods Sold

Inventory Turnover Ratio=
Inventory

Net Sales
¿ Asset Turnover Ratio= Assets ¿
Net ¿

Net Sales
Total Asset Turnover Ratio=
Total Assets

360 Days
Average Collection Period =
Accounts Receivable Turnover Ratio
¿
Accounts Receivable∗360 Days
Net Sales

Accounts Payable
Days PurchasesOutstanding=
Cost of Goods Sold
( )
360 Days

Gross Profit
Gross Margin=
Net Sales

Net Income
Net Profit Margin=
Net Sales
 Net Income
Return on Equity=
Shareholde r ' s Equity

Net Income
Return on Assets=
Total Assets

(EBIT + Depreciation)
Operating Margin=
Net Sales