Accounting Calculators

Measure the proportion of assets represented by equity. Under the basic accounting equation, it complements a total-liabilities-to-assets ratio.

Calculate the proportion of recorded assets financed by liabilities using a total-liabilities definition of the debt ratio.

Compare debt funding with the equity base. A result of 1.5 means 1.5 units of defined debt for each unit of equity.

Measure the coverage of current liabilities using only cash and qualifying cash equivalents. This is narrower than the quick ratio.

Estimate the order quantity that balances annual ordering costs and cycle-stock holding costs under the classic EOQ model.

Determine the cost of completed production transferred from work in process to finished goods. Materials used are distinct from materials purchased.

Reconcile net income to a basic EBITDA measure by adding back financing, income-tax, depreciation and amortisation amounts included in that income.

Relate the period’s net income to the average asset base employed. Beginning and ending balances provide a simple two-point average.

Measure revenue generated per unit of average assets. This focuses on sales efficiency rather than profit earned.

Calculate how often average inventory is sold through during a period, and translate positive turnover into approximate inventory days.