Here are some of the most common, and most useful, financial ratios you can calculate for your business, as well as links to more details about the most relevant ones. 1. Current ratio-- It's current ...

Debt-to-income ratio shows how your debt stacks up against your income. Lenders use DTI to assess your ability to repay a loan. To manually calculate DTI, divide your total monthly debt payments by ...

Recent data shows homes sold for 99.4% of asking price, indicating strong buyer leverage. The sale-to-list ratio, calculated by dividing selling price by asking price, gauges negotiation power. A ...

Claire Boyte-White is the lead writer for NapkinFinance.com, co-author of I Am Net Worthy, and an Investopedia contributor. Claire's expertise lies in corporate finance & accounting, mutual funds, ...

Use the Sharpe ratio to evaluate an asset's risk vs. return Yarilet Perez is an experienced multimedia journalist and fact-checker with a Master of Science in Journalism. She has worked in multiple ...

One major factor lenders consider when reviewing your mortgage application is your debt-to-income ratio (DTI). Essentially, how much of your paycheck goes toward paying down debts. A lower DTI tells ...

The dividend payout ratio is a way to measure the relative amount of dividends paid to a company’s shareholders. The ratio is calculated by adding up the dividends paid per share over the past four ...

To determine the profitability of banks, simply looking at the earnings per share isn't quite enough. It's also important to know how efficiently a bank is using its assets and equity to generate ...

Simply put, a high dividend can make a company's earnings growth seem slower than it actually is. Instead of reinvesting all of its profits in the business in order to grow earnings, it distributes a ...