A Balance Sheet provides an outline of a company's financial condition.
Unlike an Income Statement, the
Balance Sheet provides information that has accumulated since the company's inception.
Items such as Assets (cash, equipment, etc.) and
Liabilities (accounts payable, long-term debt) are outlined.
Report Specific
Amounts are derived from your search criteria using:
1) Your selected Industry
2) Your selected County data for a County report, or your selected State data for a State report, etc.
3) Your selected Sales Range
Business Ratios are used to judge a company's financial strengths and weaknesses.
These ratios highlight both positive and negative financial trends making it easier for
business owners to grade their progress and make changes where necessary.
Popular Ratios
include the Quick Ratio, Current Ratio, Inventory to Sales Ratio and more.
Efficiency Ratios are used to measure how well a company
utilizes its investment in company assets and manages its liabilities.
Financial Statements are used to measure a company's
financial performance and value.
Financial Statements include:
1) Income Statement
An Income Statement includes such items as: Sales Revenue, Gross Margin,
the Cost of Goods Sold, Salaries, Advertising expenses, etc. over a defined period
of time.
2) Balance Sheet
A Balance Sheet contains both Assets (such as Cash and Accounts Receivable) as well as Liabilities (such as Accounts Payable, and Short and Long-Term debt.)
An Income Statement (aka Profit and Loss Statement) is used to measure a company's
financial performance over a defined period of time.
An Income Statement typically includes such items as: Sales Revenue, Gross Profit, the
Cost of Goods Sold, Administrative and Marketing expenses, etc.
Review a company's Income Statement to
see if that company has made or lost money during a defined time period.
Report Specific
Amounts are derived from your search criteria using:
1) Your selected Industry
2) Your selected County data for a County report, or your selected State data for a State report, etc.
3) Your selected Sales Range
Liquidity Ratios are used to evaluate the combined amount of cash and securities
divided by the current liabilities.
A Liquidity Ratio (aka
Cash Ratio) is often used to measure how quickly a
company can liquidate assets to pay off its short-term debts.
Profitability Ratios are used to evaluate earnings with regard to expenses
over a specified time period.
Profitability Ratios of a newly-formed business are often lower
than those of a more established business often due to startup expenses.
Short-term liquidity ratio calculated by dividing Current Assets (cash, marketable securities, etc. but not Inventory) by Current Liabilities. This ratio places more emphasis on those liquid assets that can be quickly converted into cash.
This ratio divides the Current Assets by the Current Liabilities. This ratio is often used by short-term creditors to make sure that their
investments are covered by assets which can be converted to cash in the near future.
| Working Capital to Debt Ratio: |
This ratio is obtained by dividing Working Capital by Debt. Measures the ability of a company to
eliminate its debt using its Working Capital.
This ratio is calculated by taking Total Liabilities and dividing by Total Equity. A very low
ratio means that the company has greater protection to creditors if there is a decline in sales
or a shrinkage of total assets.
| Pretax Return on Assets Ratio: |
Calculated by dividing a company's annual Pretax Earnings by its Total Assets. An indicator of how
profitable a company is relative to its total assets.
| Pretax Return on Net Worth Ratio: |
Determined by dividing Pretax Profits by Total Net Worth.
This ratio highlights management's ability to generate a meaningful return on capital invested in the
business.
Calculated by dividing the Inventory Balance at the end of the year by the Total Sales for that year.
The Inventory to Sales Ratio helps you identify whether inventory is growing unnecessarily.
Definitions provided by
PrimeIndustryReports.com,
who makes available over 1 million industry reports, which include
pro-forma income statements, balance sheets, and key industry
metrics, at the national, state, and local level.
