A common way that analysts and investors measure the performance of a company selling goods is by using financial ratios. One ratio that is useful for evaluating a company's effectiveness in utilizing ...

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 ...

Inventory turnover is a critical ratio that retailers can use to ensure they are managing their store’s inventory and supply chain well. It is one of the crucial KPIs used to measure the overall ...

Buying unnecessary inventory costs your business money. Conversely, inadequate inventory can lose sales. Accountants and analysts have developed a number of metrics for judging how efficiently your ...