Ratios Flashcards
1
Q
Gross Margin Percentage
A
(sales revenue - COGS) / sales revenue
2
Q
Current Ratio
A
Current Assets / Current Liabilities
3
Q
Inventory turnover
A
COGS / Average Inventory
-or-
Sales/Average Inventory
4
Q
Return on Equity
A
Net Income / Shareholder’s Equity