## What is the Advertising to Sales Ratio? And How to Calculate It?

Financial ratios are numerical values that calculate the relative magnitude of one financial figure to another. Usually, it looks at the comparison between two financial items. These items may relate to the balance sheet or income statement. In some instances, they...

## How to Calculate Activity Ratios?

Accounting ratios compare the relative magnitude of a financial figure to another. These ratios help stakeholders understand a company’s operations better. In most circumstances, accounting ratios require metrics from financial statements. However, these metrics may...

## What Is a Good Acid Test Ratio? Here Is What You Should Know

Accounting ratios are metrics that allow stakeholders to calculate the relative magnitude of two selected values. These values come from a company’s financial statements, usually the balance sheet and income statement. Usually, stakeholders use various accounting...

## What is the Book-to-Bill Ratio? (Formula, Calculation, and Example)

For companies, calculating and analyzing metrics provides meaningful information about various aspects. Companies use metrics to measure their performance in various fields. Similarly, these metrics help them determine how they are doing compared to historical...

## Break-Even Point Analysis: Definition, Using, Formula, and Example

The break-even point (BEP) analysis is the evaluation of the minimum revenue required for a company to continue its operations. At BEP, a company neither makes profit nor loss. It helps a company set budgets and targets for a minimum production level. However, finding...

## How To Calculate Coefficient Of Correlation? (Explanation)

Statistics have extensive implications in every field and industry, from pharmaceuticals to sports. On one side, the probability is used to find the chances of the desired outcome in sports; the statistical analysis guides the data collection and analysis in a census....