Ch 15 Flashcards

1
Q

Total asstes

A

Share capital + reserves + long term liabilities

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2
Q

Capital wmployed

A

Total assets - current liabilities

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3
Q

Quick ratio

A

Current assets - stock / current liabilities

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4
Q

Operational gaering

A

Sales revenue - variable cost / trading profit

Or

Trading profit + fixed costs/trading profit

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5
Q

Debt to equity

A

Total long term debt(convertible bonds) / total equity(book value of ordinary and preference shares and retained earnings) *100%

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