Current_ratio =     Current_assets
                 Current_liabilities
 

Quick_ratio = Cash + Marketable Securities + Net Accounts_Receivable
                             Current_liabilities

Cash_ratio = Cash + Marketable_securities
                Current_liabilities

Average_accounts_receivable_turnover =       Net_Sales
                                       Average_gross_receivables

Average_days_to_collect_accounts_receivable = (Average_gross_receivables)*(360)
                                                        Net_Sales

Average_inventory_turnover = Cost_of_goods_sold
                              Average_inventory

Average_days_to_sell_inventory = (Average_inventory)*(360)
                                     Cost_of_goods_sold

Average_days_to_convert_inventory_to_cash = Average_days_to_sell + average_days_to_collect

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Copyright: Williams & Partner, 2004