**Finance Formulas** / July 20, 2018 / Rory Wise

read moreBecause of the cost principle (and other accounting principles), assets are generally reported on the balance sheet at cost (or lower) amounts. As a result, it would be incorrect to...

**Finance Formulas** / August 5, 2018 / Kenley Hopper

read moreContinuous compounding is the mathematical limit that compound interest can reach if it's calculated and reinvested into an account's balance over a theoretically infinite number of periods. While this is...

**Finance Formulas** / August 5, 2018 / Avalynn Orr

read moreTotal debt to total assets is a measure of the company's assets that are financed by debt, rather than equity. This leverage ratio shows how a company has grown and...

**Finance Formulas** / August 5, 2018 / Alia Marquez

read moreA lower debt ratio usually implies a more stable business with the potential of longevity because a company with lower ratio also has lower overall debt. Each industry has its...

*Finance Formulas* / August 5, 2018 / Aniyah Booth

read moreThe current ratio is mainly used to give an idea of a company's ability to pay back its liabilities (debt and accounts payable) with its assets (cash, marketable securities, inventory,...

__Finance Formulas__ / August 5, 2018 / Briana Leonard

read moreAn individual starts a business and incurs startup costs of $50,000. During the first year of operation, the business earns a profit of $75,000. If the individual had stayed at...

*Finance Formulas* / August 5, 2018 / Kenley Hopper

read moreAsset turnover ratio is typically calculated over an annual basis using either the fiscal or calendar year. The total assets number used in the denominator can be calculated by taking...

__Finance Formulas__ / August 5, 2018 / Alia Marquez

read moreSo how do you know if youâ€™re spending the right amount? You need some numbers. First, you need to know how long the average customer sticks with you before they...

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