Ratio Analysis for Desklib: Profitability, Efficiency, and Liquidity Ratios

2018
RATIO ANALYSIS

1
By – Kamalpreet kaur
Instructor – Colleen lister
Date: 24th June 2018.
CONTENTS:
1 | P a g e

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Question 1................................................................................................3
Question 2.............................................................................................................4
Question 3.............................................................................................................5
Question 4.............................................................................................................6
References.............................................................................................................7
Question 1
2 | P a g e

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Particulars 2016
Profitability Ratios Formulas
1) Gross Profit Margin Gross Profit/Sales revenue
Gross profit 854
Sales Revenue 5,834
Ratio 14.63833
2) Return on Total Assets (ROA) Net Earnings/Total Assets
Net Earnings 25
Total Assets 2,886
Ratio 0.87
3) Net Profit to Equity / ROE Net Profit/ Total Equity
Net Profit 25
Total Equity 558
Ratio 4.480287
Efficiency Ratios Formulas 2016
1) Asset Turnover Ratio Net Sales/ Average Total Assets
Net Sales 5,834
Average Assets 2,177
Ratio 267.9835
2) Accounts Receivable Turnover ratio Revenue/Average Accounts Receivable
Revenue 5,834
Average Accounts Receivable 526
Ratio 1109.125
3) Collection Period for accounts receivable ratio 365/Receivable turnover Ratio 0.329088
Question 2
3 | P a g e