Ratio, cash turnover

Ratio, cash, 140-142 currenf 140-142 reflux, optimum, 371-376 turnover, 190-191... 

Sales/capital employed Sales/fixed assets Sales/stock Stock turnover Sales/employee Profits/employee Current ratio Gross profit Cost of sales Debtor days Creditor days Cash flow... 

Days sales outstanding (DSO), also called average collection period, is another ratio that evaluates receivables. It represents the number of days it takes to collect cash from receivables. DSO can be more intuitive to understand than the A/R turnover ratio. 

With the revised DuPont model, notice that ROA is 2.03% and ROE is 4.65%, both of which are improvements over the current distribution network. Furthermore, EBIT and net profit margin both improve (Table 8.10). While fixed asset turnover declined slightly, the overall improvements outweigh any slight decline in this ratio. Moreover, since earnings per share (EPS) is important to Wall Street and executives alike, seeing that EPS improves since net profit increased to 8.33M and provided the number of shares has not increased. However, if the company increased the number of shares to raise capital for this project instead of using their own cash, then EPS may decline. 

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