3.8 efficiency ratios
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Last updated 11:03 AM on 6/9/25
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5 Terms
1
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Trade payable days
Tradepayables/credit purchases x365
2
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Trade Receivable days
Trade Receivables/ credit sales x365
3
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Inventory turnover (days)
Average inventory/cost of sales x365
4
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Inventory turn lever (times)
Cost of sales/average inventory
5
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Average inventory
(Opening inv + Closing inv)/2
Note 
Flashcards (355)