Efficiency ratio analysis

$1.$ Receivable Turnover $=$ Net Credit Sales $-$: Average Accounts Receivable

$2023$: $59,609,267-$: $3,730,314=16$ times or $1/16*365=23$ days

$2022$: $45,725,978-$: $3,283,249=14$ times or $1/14*365=26$ days

$\%$ change $=14\mathrm{.}3\%$

Industry Average $=34$ days

Receivable Turnover days $=$ Average Accounts Receivable$-$: Net Credit Sales x $365=23$ days

$2.$ Inventory Turnover $=$ Cost of Sales $-$: Average Inventory

$2023$: $46,464,950-$: $8,561,069=5\mathrm{.}4$ times

$2022$: $36,209,211-$: $8,368,342=4\mathrm{.}3$ times

$\%$ change $=25\mathrm{.}6\%$

Industry Average $=68$ days

$.$ Inventory Turnover days $=$ Average Inventory$-$: Cost of Sales x $365$

$2023$: $8,561,069-$: $46,464,950$ x $365=67$ days

$2022$: $8,368,342-$: $36,209,211$ x $365=84$ days

$3.$ Accounts Payable Turnover $=$ Net Credit Purchases $-$: Ave. Accounts Payable

$2023$: Not available

$2022$: Not available

$\%$ change $=$

Industry Average $=8$x

$4.$ Total Asset Turnover $=$ Net Sales $-$: Average Total Assets

$2023$: $59,609,267-$: $44,368,555=1\mathrm{.}34$ times

$2022$: $45,725,978-$: $39,631,839=1\mathrm{.}15$ times

$\%$ change $=16\mathrm{.}5\%$

Industry Average $=2$ times

Analysis