Page 45 - NCCAA Finance Board Accountability
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Ratios
Current Ratio Current Assets / Current Liabilities
The asset turnover ratio is a financial metric that
measures an organization's efficiency in
Working Current Assets – Current Liabilities generating revenue from its assets.
Capital
Quick Ratio Cash + Securities + Accounts The asset turnover ratio indicates how effectively
Receivable/Current Liabilities an organization utilizes its assets to generate
Debt to Asset Total Liabilities / Total Assets income.
A higher asset turnover ratio is generally
Debt to Total Liabilities / Net Assets
Equity considered more favorable, as it suggests that the
organization is effectively utilizing its assets to
Asset Total Unrestricted Revenues / Average generate revenue and fulfill its mission. This can be
Turnover Total Assets
compared to industry standards.
Days Accounts Receivable *365 /
Receivable Unrestricted Revenue
Profit Margin Increase in Unrestricted Net Assets /
Unrestricted Revenue
