profitability ratios and two efficiency ratios

Watch
MrBlank2
Badges: 3
Rep:
? You'll earn badges for being active around the site. Rep gems come when your posts are rated by other community members.
#1
Report Thread starter 3 years ago
#1
Hello , Im trying to work out the profitability ratios and efficiency ratios from a balance sheet but not sure how to do so. Is there a formula that is used to calculate this? . I have tried watching some videos but some of the formula are different in each video therefore im not sure.

Not sure if this is the right place to ask. sorry
thanks - any help would be appreciated
0
reply
MaCpAc
Badges: 1
Rep:
? You'll earn badges for being active around the site. Rep gems come when your posts are rated by other community members.
#2
Report 3 years ago
#2
Image

Hey, there are a number of different ratios for Profitability and Efficiency. This picture can help with profitability ratios. Efficiency ratios (in my experience) are things like trade receivables days or asset turnover (the number of times that your net assets go into your revenue). If this is for Uni or school it is best to find the ratios you have been taught because there are so many and lots of different ways to interpret the information. Hope this helps, feel free to ask anything else!
0
reply
X

Quick Reply

Attached files
Write a reply...
Reply
new posts
Back
to top
Latest
My Feed

See more of what you like on
The Student Room

You can personalise what you see on TSR. Tell us a little about yourself to get started.

Personalise

What is your favourite revision method?

Taking notes manually (53)
21.72%
Note taking apps (6)
2.46%
Flashcards (47)
19.26%
Revision guides (15)
6.15%
Past papers (115)
47.13%
Something else (let us know in the thread) (8)
3.28%

Watched Threads

View All