Activity ratio, Managerial Accounting

Assignment Help:

Accounting ratios that determine a firm's ability to convert various accounts within their balance sheets into sales or cash.

Companies will usually try to shift their production into cash or sales as soon as possible as this will usually lead to higher revenues. 

These types of ratios are often used when doing fundamental analysis on different companies. The inventory turnover ratio and asset turnover ratio and are excellent examples of activity ratios.

 

 


Related Discussions:- Activity ratio

Evaluate marginal cost, 1. If the marginal cost of producing a good is incr...

1. If the marginal cost of producing a good is increasing as a firm produces more of the good, then which of the following must be true? a. AFC is rising               b. AVC i

Chicken and hawk game, Chicken and Hawk (dove game) Two players meet at...

Chicken and Hawk (dove game) Two players meet at a one-lane bridge and each must choose whether to cross first or wait for the other. If both play Tough (T), they crash in the

English, accounting process or accounting cycle

accounting process or accounting cycle

State the capital gearing ratio, Capital gearing ratio  The term capit...

Capital gearing ratio  The term capital gearing is used to describe the relation ship between equity share capital including reserves and surplus to preference share capital a

Graphic analysis, Graphic Analysis Whenever you have two data points, you...

Graphic Analysis Whenever you have two data points, you should generally suppose a linear relationship. When you acquire more data, you can study the data to determine when there

Sensitivity analysis of eoq model, SENSITIVITY ANALYSIS OF EOQ MODEL Se...

SENSITIVITY ANALYSIS OF EOQ MODEL Sensitivity Analysis is regarded with the manner in which those results of solutions change in response to change in model parameters.

What is sunk cost, What is Sunk cost A cost has been incurred in the p...

What is Sunk cost A cost has been incurred in the past or sunk in the past and is not relevant to the particular decision making, is a sunk cost. If it is decided to replac

Determine cost pool and cost drivers, Determine Cost pool and Cost drivers ...

Determine Cost pool and Cost drivers Cost pool: it is another name given to a cost centre and,  therefore an activity cost centre may also be termed as an activity cost pool.

Control-role of management accountant , Control Control includes a ...

Control Control includes a comparison of actual performance with the plan so that deviation from the plan can be identified and corrective action taken. It can be define

Five stakeholder groups, Private sector companies have multiple stakeholder...

Private sector companies have multiple stakeholders who are likely to have divergent interests.( five stakeholder groups and  discuss their financial and other objectives).

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd