Details Title: Accounting 261 Description: ratios Total Flash Cards: 15 Created: 12/14/2008 09:54:22		New Users: To study from this flashcard set, or to create your own your own study flash cards, REGISTER HERE. Existing Users: CLICK HERE. Additional Accounting Flashcards
Cards in this set: Term working capital Definition current assets-current liabilities Term current ratio Definition current assets/current liabilities Term inventory turnover ratio Definition cost of goods sold/average inventory Term days in inventory Definition 365/inventory turnover ratio Term receivables turnover ratio Definition net credit sales/average net receivables Term average collection period Definition 365/receivables turnover ratio Term debt to total assets ratio Definition total liabilities/total assets Term times interest earned ratio Definition net income+interest espense+tax expense/interest expense Term free cash flow Definition cash provided by operations-capital expenditures-cash dividends Term earnings per share Definition net income-preferred stock dividends/average common shares outstanding Term price-earnings ratio Definition stock price per share/earnigs per share Term gross profit rate Definition gross profit/net sales Term profit margin ratio Definition net income/net sales Term return on assets ratio Definition net income/average total assets Term asset turnover ratio Definition net sales/average total assets