Every investment involves a possible gain and a possible loss. The risk/reward ratio compares how much you could lose to how ...

GCD stands for Greatest Common Divisor. It is also called HCF (Highest Common Factor). In simple words, it is the greatest number that can divide a particular set of numbers. For example, the Greatest ...

Learn how to calculate the Tier 1 leverage ratio for banks, understand its significance, and assess capital adequacy ...

Recent data shows homes sold for 99.4% of asking price, indicating strong buyer leverage. The sale-to-list ratio, calculated by dividing selling price by asking price, gauges negotiation power. A ...

The compression ratio isn’t just a number: it’s one of the greatest determining factors in engine building. Compression ratio determines the type of fuel, how much boost, and has a significant ...

Businesses often use profitability ratios to gauge their performance against industry benchmarks or competitors. Calculating these ratios involves a straightforward process, typically using figures ...

Editorial Disclaimer: All investors are advised to conduct their own independent research into investment strategies before making an investment decision. In addition, investors are advised that past ...

Discover how the cash asset ratio assesses company liquidity by dividing cash and marketable securities by current liabilities to measure short-term financial health.

The dividend payout ratio is a way to measure the relative amount of dividends paid to a company’s shareholders. The ratio is calculated by adding up the dividends paid per share over the past four ...

Subtracting your expenses from your income gives you your bottom-line financial profit but doesn't tell you how you're doing in different areas and how you can improve your operations. You should ...

The stock turnover ratio is another term for inventory turnover ratio. A stock turnover ratio measures the speed with which your inventory sells after you acquire it. Put another way, a stock turnover ...

Dock David Treece is a former licensed investment advisor and member of the FINRA Small Firm Advisory Board. His focus is on breaking down complex financial topics so readers can make informed ...