Leverage Ratios
A leverage ratio is a financial tool that assesses the relative level of debt load, which the business has incurred. The ratios compare the total debt obligation to either the
Net Working Capital Ratio
Working capital is also referred to as the net working capital as possessed by a business, and it represents the difference between the short-term assets and the current liabilities. It
The Cash Ratio
The cash ratio represents a company's liquidity, particularly when it comes to the cash equivalents and the current liabilities. The cash ratio can compute the business's ability to repay short
The Current Ratio
The current ratio is a tool that evaluates the company's ability to settle short-term debts using liquidity. It is computed by applying the company's current assets and then dividing them
What is the Earnings per Share Ratio
The earnings per share ratio (EPS) is a metric ratio calculated by taking the net earnings and dividing it by the outstanding shares available to the common stakeholder over a
What is Operating Profit Margin?
The operating profit margin is a profitability measuring tool that shows the profit a company has generated after shelling out its operational costs, such as the raw materials or wages.
What is the Net Profit Margin Ratio?
Net profit margin is the income after all expenses have been subtracted from net sales and are represented as a percentage. It means the amount that a business can make
What is the Profit Margin Ratio?
Profit margin is a profitability ratio that measures the extent to which a business or company operations make profits. It shows the percentage of sales turned into profits. In other
What is a SPAC?
SPAC, or a special purpose acquisition company, is a firm that starts without undertaking any operations to solicit funds through an initial public offering (IPO). Once enough capital is realized