Topic F (Calculations) Flashcards
1
Q
Gross Profit Margin
A
(gross profit/revenue) x 100
2
Q
Mark Up
A
(gross profit/costs of sales) x 100
3
Q
Profit Margin
A
(profit/revenue) x 100
4
Q
Current Ratio
A
current assets/current liabilities
5
Q
Liquid Capital Ratio
A
(current assets - inventory)/current liabilities
6
Q
Trade Revivable Days
A
(trade receivable/credit sales) x 365
7
Q
Trade Payable Days
A
(trade payable/credit purchases) x 365
8
Q
Inventory Turnover
A
(average inventory/cost of sales) x 365
