Financial Ratio: A financial ratio (or accounting ratio) is a relative magnitude of two selected numerical values taken from an enterprise ’s financial statements. Often used in accounting‚ there are many standard ratios used to try to evaluate the overall financial condition of a corporation or other organization. Financial ratios may be used by managers within a firm‚ by current and potential shareholders (owners) of a firm‚ and by a firm ’s creditors. Security analysts use financial ratios to compare
Premium Financial ratios Financial ratio Generally Accepted Accounting Principles
Does Soap Affect the Surface Tension of Water? Background: Surface tension refers to water’s ability to "stick to itself". Surface tensioncan be measured and observed by dropping water (drop by drop) onto a penny. Thenumber of water drops that can fit on a penny will surprise you. Question: How does soap affect the water’s surface tension? Hypothesis: I think that the surface tension of soapy water will be less than that of freshwater because H 2 0 has strong polar bonds‚ and when water is mixed with
Premium Scientific method Liquid Water
experiment was all based off of the question does the amount of candles affect how high the water rises? The hypothesis was also tested by the experiment‚ and this was the hypothesis‚ the amount of candles affects the height of the water. This hypothesis was chosen because it was known that the more candles lit in the container it used more oxygen and without the oxygen the contained created a vacuum that brings up the water‚ and that the more candles the stronger the vacuum. Experimental Design
Premium Water Experiment Hypothesis
Current Ratio: The current ratio gauges how capable a business is in paying current liabilities by using current assets only. Current ratio is also called the working capital ratio. A general rule of thumb for the current ratio is 2 to 1. However‚ an industry average may be a better standard than this rule of thumb. So‚ according to the information that we got‚ in 2007 Beximco Pharmaceutical’s current ratio was 1.80 which declined to 1.10 in 2008 and ultimately in 2009 it boosted up to 2.97‚ that
Premium Financial ratios Financial ratio
Ratio | Industry benchmark ratio | Woolworths’ ratio | Brief Comment | Current Ratio | 1.2:1 | 0.80:1 | The current ratio ofWoolworth is considerablybelow industry average themovement from it is 33.33% (1.2-0.8)/1.2*100) Which is not really good for business | Liquid ratio | 0.7:1 | 0.34:1 | The Liquid ratio of Woolworth is considerably below industry average. The movement is 51.43 %. It is showed that the business may have problem in paying their debt.(0.7-0.34/0.7*100) | Gross Profit ratio
Premium Accounts receivable Generally Accepted Accounting Principles Financial ratios
* Findings and Analysis: Liquidity Ratio 1. Current Ratio: A company’s current assets divided by its current liabilities is known as the Current Ratio. This ratio is regarded as a measure of short-term debt paying ability. It measures the capability to obsolete the current liability with comparing to current asset by how many times. The equation is- Current Ratio = Current AssetCurrent Liability * The general rule of thumb calls for a current ratio of at least 2:1. If it is greater than
Premium Balance sheet Generally Accepted Accounting Principles Insurance
TABLE OF CONTENTS INTRODUCTION 3 MANAGERIAL FINANCE: 3 FINANCIAL STATEMENTS ANALYSIS: 3 RATIO ANALYSIS: 3 FAUJI CEMENT BALANCE SHEET AND PROFIT AND LOSS ACCOUNT 4 RATIO ANALYSIS: 9 INTRODUCTION MANAGERIAL FINANCE: • Managerial finance is concerned with the duties of the financial manager in the business firm. • The financial manager actively manages the financial affairs of any type of business‚ whether private or public‚ large or small‚ profit-seeking or not-for-profit
Premium Balance sheet Finance Accounts receivable
made to derive meaningful conclusions. (ii) Common–size Financial Statements: All figures of a financial statement are expressed as a percentage of a common base which is taken as 100. This common base is the sales figure in case of Profit and Loss Account and
Premium Financial ratios Generally Accepted Accounting Principles Financial ratio
Loss on Ignition is a test used in inorganic analytical chemistry‚ particularly in the analysis of minerals. It consists of strongly heating ("igniting") a sample of the material at a specified temperature‚ allowing volatile substances to escape‚ until its mass ceases to change. This may be done in air‚ or in some other reactive or inert atmosphere. The simple test typically consists of placing a few grams of the material in a tared‚ pre-ignited crucible and determining its mass‚ placing it in a
Premium Iron Iron ore
Ratio Analysis: 2009 | 2010 | 0.53 | 0.51 | Current Ratio: Analysis: 2:1 is the benchmark of current ratio. Here in 2007 current asset is 0.53 against 1 current liability. In every year the company is unable to increase their current ration. Because the current ratio in 2010 decreases to 0.51. The company has a small amount of current asset for each amount of current liability in every year and its improvement was not that much remarkable. Though the company never crossed
Premium Balance sheet Inventory Financial ratios