Explain briefly the meaning and significance of (i) Operating ratio; (ii) Working capital turnover ratio.

Question:

Explain briefly the meaning and significance of

(i) Operating ratio;

(ii) Working capital turnover ratio.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Corporate Accounting As Per The Companies Act 2013 Including Rules 2014 And 2015

ISBN: 9789352605569

2nd Edition

Authors: M Hanif, A Mukherjee

See More Books

Question Posted: Aug 19, 2023 02:57 AM

See More Questions

State the meaning and significance of: (a) Quick Ratio; (b) Debtors Turnover Ratio; (c) Working Capital Turnover Ratio; (d) Gross Profit Ratio.
Explain the meaning and significance of interperiod equity.
Jaclyn Hargrove is the owner of six Pickwick Restaurants. For the past 10 years, she has always relied on her accountant to analyze her financial statements. Jaclyn feels that if she were able to...
Given the data (a) Calculate (2.8) using Newtons interpolating polynomials of order 1 through 3. Choose the sequence of the points for your estimates to attain the best possible accuracy. (b) Utilize...
Indicate with the appropriate letter the nature of each adjustment described below: Type of Adjustment A. Change in accounting principle (reported retrospectively) B. Change in accounting principle...
Identify several key elements in the evaluation of solvency.
A \(15-\mathrm{kg}\) box is pushed at \(5 \mathrm{~m} / \mathrm{s}\) across a low-friction floor and is caught by a \(60-\mathrm{kg}\) man on low-friction skates, initially at rest. What is the...
Marion makes a promissory note payable to the order of Perry. Perry indorses the note by writing without recourse, Perry and transfers the note for value to Steven. Steven, in need of cash,...
QUESTION TWO a) State and explain five monetary policy instruments used by the central bank to regulate interest rate, inflation rate, exchange rate and the quantity of money in the economy [15...
The debt-equity ratio of X Ltd is 1:2. Which of the following would increase, decrease or not change the debt-equity ratio: (a) Issue of equity shares; (b) Cash received from debtors; (c) Sale of...
Proprietary Ratio = ? A B C Equity Share Capital Total Assets Equity Share Capital + Preference Share Capital Fixed Assets Shareholders' Funds Total Assets
A differentiable function f: S R is pseudoconvex if f(x) < f(x0) f(x0)T(x - x0) < 0 for every x, x0 in S
1. HOW MUCH IS THE CONVERSION COST 2. HOW MUCH IS THE RAW MATERIALS END 3. HOW MUCH IS THE PRIME COST 4. HOW MUCH IS THE COST OF GOODS SOLD 5. HOW MUCH IS THE COST OF GOODS...
You are a candidate for a job as a junior accountant at Streams Accounting Firm, and you have made it past the initial interview phase. You must now demonstrate your ability to perform the necessary...
Solve the equation by the square root property. (z+7) = -64
A young boy set up an aquarium containing 120 liters of water and six fish. The capacity for the aquarium is ten fish. By the end of the first year, four fish were added to the aquarium and two of...
1. Briefly explain with examples what is meant by the following i. Simple random Sampling ii. Stratified sampling iii. Cluster sampling iv. Systematic sampling v. Non-probability sampling 2....
A one-year Treasury security offers a 4 percent yield to maturity (YTM). A two-year Treasury security offers a 4.25 percent YTM. According to the expectations hypothesis, what is the expected...
Use this circle graph to answer following Exercises. 1. What fraction of areas maintained by the National Park Service are designated as National Recreation Areas? 2. What fraction of areas...
State Construction Company is owned equally by Andy, Bill, and Charlie. Andy works in the corporation full-time, and Bill and Charlie work elsewhere. Andys employment contract with State specifies a...
Lisa and her daughter Jane are equal shareholders in Lisas Flooring, Inc. Lisa founded the corporation and was the sole owner for over twenty years. The company is very successful and Lisa has...
Larrys Art Gallery sells oil paintings, lithographs, and bronzes to collectors and corporations. Customers often come to Larry looking for special pieces. In order to meet customer needs, Larry often...
4. Obtain the state table and the timing diagram for the given circuit for QA and QB where QA and QB are the normal outputs (Q) of the flip flops. Also, plot the output y. Please note that "reset" is...
Maglevs work by levitating over the tracks and thus eliminating the need for moving parts. There are two sets of magnets in a Maglev system: one levitates the train above the track and the other...
radians. 4. Below is a 33 matrix where the third column is missing. a. [1/3 1/2 A = 1/3 0 1/3 -1/2 Calculate the elements of the third column so that the matrix below is orthogonal. It must be a unit...

Explain briefly the meaning and significance of (i) Operating ratio; (ii) Working capital turnover ratio.

Question:

Step by Step Answer:

i Operating Ratio The operating ratio is a financial metric that assesses the efficiency of a companys operations by measuring the relationship betwee...View the full answer

Corporate Accounting As Per The Companies Act 2013 Including Rules 2014 And 2015

Students also viewed these Business questions