F-2 M-8 Liquidity Ratios Flashcards
1
Q
Current Ratio
A
Current Assets / Current Liabilities
2
Q
Quick Ratio
A
(Cash and Cash Equivalents + ST Marketable Securities + Net Receivables) / Current Liabilities
3
Q
Accounts Receivable Turnover
A
Net Sales / Average Net Accounts Receivable
4
Q
Days Sales in Accounts Receivable
A
Ending Net Accounts Receivable / (Net Sales / 365)
5
Q
Inventory Turnover
A
COGS / Average Inventory
6
Q
Days in Inventory
A
Ending Inventory / (COGS / 365)
7
Q
Accounts Payable Turnover
A
COGS / Average Accounts Payable
8
Q
Days of Payables Outstanding
A
Ending Accounts Payable / (COGS/365)
9
Q
Cash Conversion Cycle
A
Days Sales in AR + Days in Inventory - Days of Payables Outstanding
10
Q
Cost of Goods Sold (COGS)
A
Beginning Inventory + Purchases - Ending Inventory
11
Q
Quick Assets
A
