Efficiency / Activity Ratio's Flashcards
(6 cards)
Receivables Collection Period
Aged Receivables/credit sales X 365
Payables payment period
Aged Payables/Purchases X 365
Inventory Holding Period
Average inventory / COS X 365
Operating Cycle
Inventory days + Receivable days - Payable days
Asset turnover
Sales / capital employed
Sales / Working capital
Sales / Working Capital