2. Rate Earned on Average Total Assets n (January 1 Total assets + December 31 Total Assets) / 2 = Average Total Assets n Net Income after Federal Income Tax / Average Total Assets = Rate Earned On Average Total Assets

3. Rate Earned on Average Stockholders Equity n January 1 Stockholders’ Equity+ December 31 Stockholders’ Equity/ 2= Average Stockholders’ Equity n Net Income after Federal Income Tax / Average Stockholders’ Equity = Rate Earned on Average Stockholders Equity

4. Rate Earned on Net Sales n Net Income after Federal Income Tax / Net Sales = Rate Earned on Net Sales

5. Earnings per Share n Net Income after Federal Income Tax / Shares of Capital Stock Outstanding = Earnings per Share

6. Price-Earnings Ratio n Market Price per Share / Earnings per Share = Price-Earnings Ratio

7. Accounts Receivable Turnover Ratio n (Beginning Book Value of Accounts Receivable + Ending Book Value of Accounts Receivable) / 2 = Average Book Value of Accounts Receivable n Net Sales / Average Book Value of Accounts Receivable = Accounts Receivable Turnover Ratio

8. Average Number of Days for Payment Average Number of Days for Payment n Days in Year / Accounts Receivable Turnover Ratio = Average Number of Days for Payment

9. Merchandise Inventory Turnover Ratio n (Jan 1 Merchandise Inventory + Dec 31 Merchandise Inventory) / 2 = Average Merchandise Inventory n Cost of Merchandise Sold / Average Merchandise Inventory = Merchandise Inventory Turnover Ratio

10. Working Capital n Total Current (prior) Assets – Total Current (prior) Liabilities = Working Capital

11. Current Ratio n Total Current (prior) Assets / Total Current (prior) Liabilities = Current Ratio

12. Acid-Test Ratio n Total Quick (cash and accounts receivable) / Total Current Liabilities = Acid – Test Ratio

13. Debt Ratio n Total Liabilities / Total Assets = Debt Ratio

14. Equity Ratio n Total Stockholders’ Equity / Total Assets = Equity Ratio

15. Equity Per Share n Total Stockholders’ Equity / Shares of capital Stock Outstanding = Equity per Share

16. THE END Done By Tamara Wiley