Economic Ratios

SHORT AND SWEETEconomic ratios are an essential management instrument.They create transparency and make possiblea meaningful assessment of a company. Atthe same time, they serve not only as the basis fordecisions and monitoring, but also for guidanceand process optimization.The calculation of economic ratios is in most casesnot standardized. How detailed the economic ratiosystem must be for your company depends not onlyon the implemented accounting standards but alsoon your business goals, the size of your companyand the industry in which you are operating.An economic ratio system tailored specifically toyour company (economic ratio cockpit) allows informationregarding the performance of your companyto be received faster and more condensed and supportsyou in the planning, monitoring and controlof your actions.On the following pages we will provide a generaloverview about the most important economic ratiosused in practice.For additional questions our advisors are gladly atyour disposal.KENDRIS Ltd.