3.6 Flashcards
1
Q
Inventory (stock) turnover ratio
A
(Cost of goods sold)/ (inventory level)
2
Q
Debtor days (days sales in receivables) ratio
A
(Debtors [accounts receivable] x 365)/ (revenue)
3
Q
Creditor days (accounts payable) ratio
A
(Trade creditors)/(credit purchases) x 365