Working Capital Turnover Ratio


0

Working Capital Turnover Ratio: This is also known as Working Capital Leverage Ratio. This ratio indicates whether or net working capital has been utilized in making sales. In case a company can achieve higher volume of sales with relatively small amount of working capital, it is an indication of the operating efficiency of the company. The ratio is calculated as follows.

 

Net Sales/Working Capital


Like it? Share with your friends!

0
BMS Team

We, at BMS.co.in, believe in sharing knowledge and giving quality information to our BMS students. We are here to provide and update you with every details required by you BMSites! If you want to join us, please mail to [email protected].

15 Comments

Facebook comments: