What's it: Working capital turnover is a financial ratio to measure how efficiently companies use their working capital to generate

# Financial Analysis

## Inventory Turnover Ratio: Formula, Calculation and How to Read It

What's it: Inventory turnover ratio is a financial ratio to show the number of times companies convert their inventory into sales

## Solvency Ratio: Formulas, Examples, and Calculations

What's it: The solvency ratio is a financial ratio to measure a company's ability to meet its long-term obligations. To calculate it, we divide

## EBIT Margin: Calculation and Interpretation

What's it: EBIT margin is a profitability ratio to measure how efficiently a company converts its revenue into profit before paying

## NOPAT Margin: Formula, Calculation, and Interpretation

What's it: NOPAT margin is a profitability ratio to measure how efficiently a company generates profit from its core business after

## EBIAT Margin: Formula, Calculation, and Interpretation

What's it: EBIAT margin is a profitability ratio to measure how efficiently a company generates profit from all its activities before

## Return on Common Equity (ROCE): Calculation and Interpretation

What's it: Return on common equity (ROCE) is a profitability ratio for measuring the return to common stockholders on their invested

## Operating ROA: Formula, Calculation, and Interpretation

What's it: Operating ROA is a profitability ratio to measure how well a company is using its assets to generate profits from its core

## Cost of goods manufactured: Meaning, Components, How to Calculate

What's it: Cost of goods manufactured refers to the collection of production cost plus the change in work-in-process inventory. These production

## Deferred Tax Assets: Meaning, Examples

What's it: A deferred tax asset represents an inflow of future tax-related economic benefits. It eventually returns to business in the form of

## Investment Property in Accounting: Meaning, Pros, Cons, Reporting

What's it: An investment property is a company's long-term investment in the property sector to obtain a rental income or capital appreciation. It can

## Cash Equivalent: Meaning, Examples And Why It Matters

What's it: A cash equivalent is a financial asset that can easily be converted to cash and have minimal risk of changing prices. Because of this

## Cash in Accounting: Meaning, Reporting, Pros, Cons

What's it: Cash is money in the form of banknotes or coins. In accounting, other examples of cash are checks, notes, and demand deposits. Cash

## Noncurrent Liabilities: Meaning, Items, Why They Matter

What it is: Noncurrent liabilities represent liabilities which due more than one year or one operating cycle. Together with current liabilities,

## Noncurrent Assets: Meaning, Items, Why They Matter

What it is: Noncurrent assets are long-term assets, in which the full value will not be realized during the accounting period. They represent

## Types of Financial Ratios: Their Analysis and Interpretation

Financial ratios are important metrics for analyzing a company's finances. In rating or stock analyst reports, we will find various ratios.