accounting ratio formulae

return on capital employed (ROCE)

(profit before interest and tax / (equity + non-current liabilities)) x 100

return on equity (ROE)

(profit after tax / equity) x 100

total assets usage

revenue / total assets

fixed assets usage

revenue / non-current assets

inventory holding period

(inventory / cost of sales) x 365

trade receivables collection period

(trade receivables / revenue) x 365

trade payables payment period

(trade payables / cost of sales) x 365

current ratio

current assets / current liabilities

acid test / quick ratio

(current assets - inventory) / current liabilities

gearing ratio

(debt / (debt + equity)) x 100

interest cover

profit before interest and tax / interest expense

earnings per share

profit after tax / number of ordinary shares

price / earnings ratio

share price / earnings per share