Return on investment

Accounts Payable: Sales: Accounts Payable divided by Annual Sales, measuring the speed with which a company pays vendors relative to sales. Numbers higher than typical industry ratios suggest that the company is using suppliers to float operations.
　　Assets: Sales: Total Assets divided by Net Sales, indicating whether a company is handling too high a volume of sales in relation to investment. Very low percentages relative to industry norms might indicate overly conservative sales efforts or poor sales management.

　　Current Liabilities: Inventory: Current Liabilities divided by Inventory: A high ratio, relative to industry norms, suggests over-reliance on unsold goods to finance operations.

　　Current Liabilities: Net Worth: Current Liabilities divided by Net Worth, reflecting a level of security for creditors. The larger the ratio relative to industry norms, the less security there is for creditors.

　　Current Ratio: Current Assets divided by Current Liabilities, measuring current assets available to cover current liabilities, a test of near-term solvency. The ratio indicates to what extent cash on hand and disposable assets are enough to pay off near term liabilities.

　　Fixed Assets: Net Worth: Fixed Assets divided by Net Worth. High ratios relative to the industry can indicate low working capital or high levels of debt.

　　Gross Profit: Sales: Pre-tax profits divided by Annual Sales. This is the profit ratio before product and sales costs, as well as taxes. This ratio can indicate the "play" in other expenses which could be adjusted to increase the Net Profit margin.

　　Net Profit: Sales: After tax profits divided by Annual Sales. This is the key profit ratio, indicating how much is put in the company's pocket for each $100 of sales.

　　Quick Ratio: Cash plus Accounts Receivable, divided by Current Liabilities, indicating liquid assets available to cover current debt. Also known as the Acid Ratio. This is a harsher version of the Current Ratio, which balances short-term liabilities against cash and liquid instruments.

　　Return on Assets: Net After Tax Profit divided by Total Assets, a critical indicator of profitability. Companies which use their assets efficiently will tend to show a ratio higher than the industry norm.

　　Return on Net Worth: Net After Tax Profit divided by Net Worth, this is the 'final measure' of profitability to evaluate overall return. This ratio measures return relative to investment in the company. Put another way, Return on Net Worth indicates how well a company leverages the investment in it.

　　Return on Sales: Net After Tax Profit divided by Annual Net Sales, indicating the level of profit from each dollar of sales. This ratio can be used as a predictor of the company's ability to withstand changes in prices or market conditions.

　　Sales: Inventory: Annual Net Sales divided by Inventory value. This gives a picture of how quickly inventory turns over. Ratios below the industry norm suggest high levels of inventory. High ratios could indicate product levels insufficient to satisfy demand in a timely manner.

　　Sales: Net Working Capital: Sales divided by Net Working Capital （current assets minus current liabilities）. Ratios higher than industry norms may indicate a strain on available liquid assets, while low ratios may suggest too much liquidity.

　　Total Liabilities: Net Worth: Total liabilities divided by Net Worth. This ratio helps to clarify the impact of long-term debt, which can be seen by comparing this ratio with Current Liabilities: Net Worth. Creditors are concerned to the extent that total liability levels exceed Net Worth. The impact of long-term debt

　　Turnover Ratios: Sales divided by various line items （cash, accounts receivable, accounts payable, inventory, current assets, total assets, fixed assets）. These turnover rations measure operating characteristics of firms. Higher is better for Asset line items. Lower is better for Accounts Payable Turnover. Turnover ratios create a series of operating efficiency indicators relative to sales.

Account 帐户

　　Accounting system 会计系统

　　American Accounting Association 美国会计协会

　　American Institute of CPAs 美国注册会计师协会

　　Audit 审计

　　Balance sheet 资产负债表

　　Bookkeepking 簿记

　　Cash flow prospects 现金流量预测

　　Certificate in Internal Auditing 内部审计证书

　　Certificate in Management Accounting 管理会计证书

　　Certificate Public Accountant注册会计师

　　Cost accounting 成本会计

　　External users 外部使用者

　　Financial accounting 财务会计

　　Financial Accounting Standards Board 财务会计准则委员会

　　Financial forecast 财务预测

　　Generally accepted accounting principles 公认会计原则

　　General-purpose information 通用目的信息

　　Government Accounting Office 政府会计办公室

　　Income statement 损益表

　　Institute of Internal Auditors 内部审计师协会

　　Institute of Management Accountants 管理会计师协会

　　Integrity 整合性

　　Internal auditing 内部审计

　　Internal control structure 内部控制结构

　　Internal Revenue Service 国内收入署

　　Internal users 内部使用者

　　Management accounting 管理会计

　　Return of investment 投资回报

　　Return on investment 投资报酬

　　Securities and Exchange Commission 证券交易委员会

　　Statement of cash flow 现金流量表

　　Statement of financial position 财务状况表

　　Tax accounting 税务会计

　　Accounting equation 会计等式

　　Articulation 勾稽关系

　　Assets 资产

　　Business entity 企业个体

　　Capital stock 股本

　　Corporation 公司

　　Cost principle 成本原则

　　Creditor 债权人

　　Deflation 通货紧缩

　　Disclosure 批露

　　Expenses 费用

　　Financial statement 财务报表

　　Financial activities 筹资活动

　　Going-concern assumption 持续经营假设

　　Inflation 通货膨涨

　　Investing activities 投资活动

　　Liabilities 负债

　　Negative cash flow 负现金流量

　　Operating activities 经营活动

　　Owners equity 所有者权益

　　Partnership 合伙企业

　　Positive cash flow 正现金流量

　　Retained earning 留存利润

　　Revenue 收入

　　Sole proprietorship 独资企业

　　Solvency 清偿能力

　　Stable-dollar assumption 稳定货币假设

　　Stockholders 股东

　　Stockholders equity 股东权益

　　Window dressing 门面粉饰