This ratio measures how efficiently a business uses its working capital to generate revenue. Calculated as Net Sales ÷ Average Working Capital, it shows how…
READ MOREA write-down is a reduction in the book value of an asset when its fair market value falls below the carrying amount. It reflects asset…
READ MOREThis inventory valuation method calculates the cost of goods sold and ending inventory based on the average cost of all similar items available for sale…
READ MOREA warrant is a financial instrument that gives the holder the right (but not the obligation) to buy a company’s shares at a specified price…
READ MOREWork in Progress refers to partially completed goods in a production process. It includes the cost of raw materials, labour, and overhead incurred so far.…
READ MOREA write-off is the accounting action of removing an asset or receivable from the books because it no longer holds value. Common examples include bad…
READ MOREWorking capital is the difference between current assets and current liabilities. It measures a business’s short-term financial health and ability to meet operational expenses and…
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