Operating Efficiency - Ratios Flashcards
1
Q
Accounts receivable turnover
A
Annual sales / accounts receivable
2
Q
Accounts payable turnover
A
Annual cost of sales / accounts payable
3
Q
Inventory turnover
A
Annual cost of sales / inventory
4
Q
Accounts receivable days
A
Accounts receivable / ag daily sales
5
Q
Accounts payable days
A
Accounts payable / ag daily cost of sales
6
Q
Inventory days
A
Inventory / ag daily cost of sales
