Business Studies 0.0 / 5 ? Business StudiesFinancial PlanningASCIE Created by: Adel1439Created on: 07-11-13 10:12 What is the Equation to find Acid Test Ratio Liquid assests / current liabilities 1 of 8 Equation for Liquid assets Current assets - Inventories = Liquid assets 2 of 8 what is liquidity The Ability of the firm to pay its short term debts 3 of 8 Current Ratios Current assets / current liabilities 4 of 8 Gross profit Margin Gross Profit / sales revenue * 100% 5 of 8 Net profit margin % Net profit / sales revenue * 100% 6 of 8 Shareholder equity Total value of assets - total value of liabilities 7 of 8 Net profit gross profit - overhead expenses 8 of 8
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