Two important financial ratios used for analysis by investors and creditors include the total asset turnover ratio and the profit margin. Total asset ratio falls under the category of asset ...

Discover what overall turnover means for businesses, how it's calculated, and why it's crucial for measuring company efficiency. Commonly used in Europe and Asia.

Businesses are always eager to know if they are profitable. To stay on top of profitability, they will assess ways to improve efficiency, reduce costs, incentivize employees and optimize operations to ...

Adam Hayes, Ph.D., CFA, is a financial writer with 15+ years Wall Street experience as a derivatives trader. Besides his extensive derivative trading expertise, Adam is an expert in economics and ...

Every business or company invests in assets to improve the execution of its operations. Total assets turnover is a ratio that relates the amount of sales generated for every unit of asset. The ratio ...

Fixed asset turnover is a key metric that helps investors and businesses understand how effectively a company uses its fixed assets to generate revenue. By analyzing this ratio, decision-makers can ...

Asset turnover ratio calculates efficiency of asset use to generate sales; formula: Total Sales ÷ Average Assets. Higher asset turnover indicates better capital use and operational efficiency relative ...

Mutual funds' trading volume, reflected in the turnover ratio, affects their fees. High turnover ratios in actively managed funds can erode returns due to trading costs. Low turnover suggests a fund ...