The current ratio is a liquidity ratio that measures a company’s ability to pay short-term obligations or those due within one year. It tells investors and analysts how a company can maximize ...

Smart investors use financial ratios to analyze a company's financial performance before making an investment. Financial ratios reveal how a company is financed, how it uses its resources ...

Debt-to-income (DTI) ratio is the percentage of your monthly gross income that goes to paying your monthly debt payments and is used by lenders to determine your borrowing risk. Debt-to-income ...

Personal finance ratios can help you understand where you're at and where you need to improve. Gauge your progress by tracking your emergency fund ratio, basic housing ratio, overall debt-to ...

Leverage ratios are metrics that express how much of a company's operations or assets are financed with borrowed money. Businesses cost a lot of money to run, and that money has to come from ...

The Sharpe ratio is one way to capture this risk-versus-reward detail and give investors extra insight into their assets' performance. Some investors use an index fund as a benchmark and attempt ...

2. Provide company background information. In the first few pages of the report, there should be an executive summary that provides a brief but detailed summary of the entire financial ratios ...

Before investing, check a fund's expense ratio, which affects investment costs. Net expense ratio reflects actual costs after discounts; gross ratio shows full costs. Aim for lower expense ratios ...

A P/S ratio is a valuation metric that compares a company's share price to its annual revenue—this is particularly useful for comparing or valuing companies that have yet to turn a profit.

Leverage ratios show debt context, helping assess financial health. High ratios suggest risky excessive debt usage, potential default. Low ratios enable business expansion, investments ...

James and Helen get pocket money in the ratio \(3:5\). The total amount of pocket money they are given is £24. How much money do they each get? The amount is divided into 8 equal parts since \(3 ...