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KPIs Library
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KPIs Library
Schedule Performance Index Metric
When managing projects, tracking and ensuring timely delivery is crucial. This is where the Schedule Performance Index (SPI) comes into...
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What is the Average Talk Time (ATT) Metric in Customer Service?
Introduction Have you ever felt a spike in frustration during a customer service call? You're not alone! A staggering 74%...
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How to Achieve Customer Success with Total Call Volume Metrics?
Customer success is the ultimate goal of any business that provides products or services to its customers. It means that...
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Why Comments Per Pull Request KPI Matters?
Software development is a team effort, and collaboration is king. Every coder knows the significance of code reviews, but how...
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Influence of Missed Calls Metrics on Customer Service
Introduction Customer interaction is the pulse of any thriving business. Whether through emails, web chats, or phone calls, every touchpoint...
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Navigating Escalation Percentage: A Customer Success KPI
Introduction Customer service and satisfaction are essential to a company’s consumer relationship. According to Hubspot, 90% of Americans use customer...
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Enhancing Business Performance with Employee Retention Rate KPI
In today's dynamic business landscape, companies compete fiercely not just for market share but also for talent. Retaining top talent...
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Demystifying IT Project Hours KPI
Introduction Keeping track of the intricacies of an IT project is like solving a thousand-piece jigsaw puzzle. Among the various...
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Mean Time to Repair (MTTR): A Vital KPI for Operational Efficiency
In an era where industrial efficiency has become the linchpin of success, the Mean Time to Repair (MTTR) KPI has...
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KPI Data Sources: How to Integrate Multiple Data Sources and Conduct KPI Analysis?
With cut-throat competition and increasingly challenging, uncertain business conditions, success heavily depends on informed decision-making. Informed decision-making requires screening vast...
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Unleashing the Potential of KPIs with Balanced Scorecard
The four perspectives of a KPI balanced scorecard In a fast-paced and competitive business landscape, organizational success hinges on more...
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Exploring the First Contact Resolution (FCR) KPI in Business Operations
Introduction It is vital to ensure the satisfaction of your customers, as it is of paramount importance to run a...
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Network Speed KPIs Every IT Professional Should Track
Introduction The world is completely digitized, so the efficiency of your network can be the thin line between operational excellence...
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Why do you need a KPI actionable plan for better strategy execution?
Performance management is a continuous process paramount for an organization to achieve success and sustained growth. It involves assessing the...
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Why are KPIs important in strategic planning?
The correlation between KPIs and strategic planning. Data-driven decision-making, strategic planning, and strategy management are vital for organizations to stay...
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Measuring Performance with the Maximum Duration of Outage KPI
Introduction Operations are like the heartbeat of any business, always in motion, making things run smoothly and sparking innovation to...
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Leverage Business With Procurement Cycle Time KPI
Introduction The procurement cycle is at the heart of any business, regardless of its size or industry. It refers to...
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Purchasing Lead Time: A Supply Chain Management KPI
Introduction In the intricate world of supply chain management, every second counts. Time is money; perhaps no metric illustrates this...
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Understanding the KPI: Rate of Purchase Return
Introduction Understanding and effectively managing key performance indicators (KPIs) is essential to business operations. A critical KPI for managing your...
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Optimizing Supplier Engagement with the Suppliers-Per-Item KPI
Introduction In the challenging and rigorous supply chain management world, the growing demand for transparency and traceability presents significant risks...
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The Significance of Revenue Per Employee (RPE) in HR Management
Introduction Introducing the Revenue per Employee (RPE) KPI, a powerful metric that helps you to explore the true potential of...
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Managing Procurement ROI to Optimize Investments
Introduction Learning the nuances of the untapped potential of procurement has become imperative in the cutting-edge business world. With organizations...
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The Importance of the Demand Forecast Accuracy KPI in Inventory Management
Introduction In the dynamic and competitive business landscape, accurately predicting customer demand profoundly impacts an organization's success. According to a...
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Purchasing Cost: Measuring and Managing Cost Efficiency in Procurement
Introduction Step into the dynamic world of business, where the ability to conquer costs holds the key to accessing remarkable...
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Acknowledging the impact of “Out of Stock Loss KPI” in Inventory Management
Introduction In the world of retail, there might be situations where you may feel like you are stuck between a...
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Maximizing Sales Through Units Per Transaction: The Ultimate Guide
Introduction Imagine walking into your favorite retail store. As a shopper, you're trying to find that perfect item. Now switch...
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Mastering Inventory Carrying Cost: A Complete Guide
Introduction Managing inventory is akin to walking a tightrope; you must maintain enough stock to meet demand, but not so...
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Streamlining Employee Onboarding Time with KPIs
Introduction Onboarding new employees efficiently ensures a smooth transition, maximizes productivity, and fosters long-term success. Organizations that adopt a structured...
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Analyzing the Importance of Reopen Rate KPI in Customer Success
Introduction In today's fiercely competitive business environment, measuring key performance indicators (KPIs) is crucial for organizations to evaluate their success...
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Maximizing Efficiency with Average Ticket Backlog Management
Introduction In the fast-paced world of customer support, managing ticket backlogs efficiently is crucial for maintaining customer satisfaction and operational...
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Maximizing Webinar ROI: Tips and Strategies
Webinars provide an excellent way to reach, educate and engage your target audience. They enhance your ability to generate more...
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Measuring the Impact of Positive Mentions on Social Media: A customer success KPI
Introduction: In today's digitally entangled world, social media has become a powerful platform for individuals and businesses to engage with...
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Mastering the Art of Handling Escalated Calls: An Important Customer Success KPI
Introduction In customer success, escalated calls are not merely challenges but rather opportunities to strengthen relationships and deliver exceptional experiences....
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Insights Into an Average Tickets Per Customer KPI
Introduction Understanding customer behavior and preferences is paramount in the ever-evolving world of customer-centric businesses. The average number of tickets...
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Customer Retention and Satisfaction with Webinars
In the current business world, the customer is king. Many companies lose millions of potential revenues due to customer churn....
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Customer Effort Score: Measure, Calculate and Enhance Customer Experience
Introduction Delivering exceptional customer experiences can help you attain paramount success. One effective metric that helps organizations gauge the ease...
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Webinar Metrics for Engagement and Interaction
Webinars are excellent and budget-friendly tools to drive business growth through lead generation. In fact, about 73% of sales and...
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Social Share Metrics: Definition and Examples
Social media has evolved from mere buzzwords to essential aspects of our everyday lives. It provides marketers with the opportunity...
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Five Tips for Increasing Your Webinar Registration and Attendance
Conducting webinars is a great strategy to connect to your audience, but only if you have an audience that registers....
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Understanding Self-Service Rate: A Key KPI for Customer Success
Introduction Studies show that 81% of customers attempt to care for matters themselves before contacting a service representative. In customer...
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Building Brand Awareness Through Webinars: Strategies and Metrics
When you think of your favorite brand, what comes to mind? Maybe you love the quality of their products or...
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Boost Customer Success with Training Hours KPI
Introduction Forbes states that 70 percent of employees would consider leaving their current job for another organization that would invest...
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Conversion and Sales: Metrics to Measure Webinar ROI and Impact
Include webinars in your sales conversion strategy to unlock the power of direct sales. A webinar is an ideal medium...
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Comprehensive Guide to Average Handle Time (AHT)
Call centers are the backbone of customer support for many businesses, and understanding and optimizing performance metrics is crucial to...
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Understanding Average Wait Time and its Impact on Customer Experience
Introduction Customer experience stands as a paramount factor in the triumph of every business. And customers today have exceptionally higher...
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Market Share and The Shares that Matter
Market share provides valuable insights into a company's competitiveness and success in the market and can be used to inform...
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Choosing the Best Strategic Metrics for Success
You can only achieve objectives by choosing the appropriate metrics to measure and track your progress. Metrics and KPIs are...
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MRR Vs. ARR: Power of Recurring Revenue Metrics
Are you a marketer, a finance professional, a sales executive, or highly interested in learning more about subscription-based businesses? This...
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The Importance of Month on Month (MOM) Growth
Introduction Metrics are essential tools for measuring, tracking, and analyzing data related to a business or organization. Metrics help to...
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The Importance of Tracking Monthly Recurring Revenue
IntroductionMonthly Recurring Revenue (MRR)is among the top 5 SaaS Metrics businesses use to track their revenue streams and forecast future...
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Customer Retention Rate: Definition, Formula and Benefits
In any organization, customer loyalty is essential for sustainability and growth. Loyal customers and employees become your brand ambassadors by...
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What are KPI Tracking and Benefits?
If you work with a team, you’re likely familiar with KPIs. When applied correctly, KPIs help you evaluate your team's...
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What are Measures and Metrics? Differences and Examples
Measures and metrics are easy to confuse because metrics are measures but with more significance. A measure is simply a...
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31 Key KPIs to Measure Your Webinar Success in 2023
The Growing Importance of Webinars in the Business World In recent years, webinars have become an increasingly popular and effective...
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How to Customize and Build a Metrics Dashboard?
Introduction Metrics dashboards are an asset to businesses as they help to track the progress toward goals accurately. These dashboards...
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8 Most Important Sales Metrics for Your Business
Are you curious about how to measure and track the success of your sales operations? Do you want to understand...
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8 User Engagement Metrics You Should Measure in 2023
It's no secret that measuring the success of your website or business hinges on user engagement metrics. But what is...
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Top 10 Conversion Metrics for Digital Marketing
Introduction More than a sound digital marketing strategy is needed to ensure success. There is only one way to measure...
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What Are Vanity Metrics, and How to Avoid Them?
Digital marketing metrics are the driving force behind digital marketing. While data is abundant, using the right metrics to measure...
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10 Key Recruitment Metrics to Improve the Hiring Process
Recruiting a strong team is vital to any organization's performance, productivity and growth. Recruiting metrics enable and promote data-driven hiring...
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What is a Pareto Chart and How to Create One?
Organizations often have to take important decisions that can either make or break their success. Making the right decisions at...
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Sales Win Rate: Definition, Formula, and Techniques to Improve
Metrics are critical measures of performance for any Business and help you learn more about the productivity of your sales...
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What is a Marketing Qualified Lead? Definition and MQL Criteria
Introduction Marketing in the technology age creates, shares, delivers, and exchanges offerings that benefit customers, clients, partners, and society. Every...
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Annual Contract Value and its Importance For a SaaS Business
Introduction Key SaaS metrics are essential to determine the profitability of a business. They answer crucial questions such as how...
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What Are Sales Qualified Leads (SQL)? 10 Ways to Get Quality Leads
Introduction When you are considering lead generation, the quality of the lead is more important than its quantity. Sales-qualified directs...
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What is CAC Payback Period? How Does Reducing the Payback Period Benefit Your Business?
Introduction The cost of onboarding new customers has increased by more than 60% in recent years. With the current trends...
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What Is Net Burn Rate? Impact and Control of Burn Rate
Introduction Setting goals and achieving them are integral to an organization’s day-to-day operations. Success in attaining those goals needs to...
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Calculating LTV:CAC, The Most Important KPI For Your Business
With the advent of a new wave of businesses that follow emerging business models, it has become necessary to adopt...
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Annual Retention Rate: Why Should You Track It?
In the current competitive market, employee retention is an essential aspect. Losing valuable employees with specialized and high-demand skills is...
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Churn Rate: What is it? Definition, Formula, and Examples
The churn rate is a percentage of the number of people who discontinue their business with you over a given...
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8 Essential ‘SaaS Metrics’ that a SaaS Company Should Track
In line with the nature of the constantly changing tech scenario, the way software businesses deliver their products and services...
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5 DEI Metrics an Organization Should Measure
Diversity, Equity, and Inclusion (DEI) programs are often put into place by organizations to reduce unconscious bias and workplace discrimination....
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What are Smart Metrics and why are they Important?
Setting goals and achieving them are integral to an organization’s day-to-day operations. But the quality of goals matters the most...
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What is a KPI Report? What are the Benefits of KPI Reports?
What is a KPI report? It is a Key performance indicator (KPI) that allows leaders within an organization to quickly...
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8 Email Marketing KPIs to Improve Emails Effectiveness
Email marketing is a highly effective channel to grow your business. On average, In fact, for every dollar spent on...
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What are Metrics and key Metrics? Why are Key Metrics Important?
An organization can make unprecedented growth and progress, or lack overall business health. But regardless of whether the organization is...
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KPIs vs KRIs: A User’s Guide to Risk Management
Business success vastly depends on a clear understanding of objectives, strategy, and goals, properly tracking and analyzing them. Businesses use...
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What is Gross Retention Rate and five tips to increase it
Gross Retention Rates Definition The gross revenue retention rate is the potential of your business to maintain its customers and...
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10 Most Important Social Media KPIs you must track
Social media is an invaluable tool that helps businesses communicate important information and nurture quality customer relationships. Successful business executives...
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7 Call Center Metrics to Track Productivity & Performance
Call center metrics evaluate the effectiveness of customer service teams. They help gauge the productivity and performance of your employees...
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What is Turnover Rate?
KEY TAKEAWAYS A high turnover rate is not beneficial to any organization. HR professionals use turnover rate metrics to understand...
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Top 10 HR Metrics that you should measure
Key Takeaways HR metrics assist human resource managers in measuring employee effectiveness Businesses of all sizes and in all industries...
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5 SaaS Metrics to Measure and Improve for Faster Growth
Key SaaS metrics help to determine the profitability of your business. They answer valuable questions such as how to boost...
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KPIs vs Metrics: How Are They Different & How Do They Work?
Key performance indicators (KPIs) show how well you achieve your business goals. Metrics monitor the status and progress of your...
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What are ESG metrics?
ESG Metrics are critical for enterprises to assess their ecological, social, and administration matters. Explanation of Environmental, Social, And Governance...
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What is Project Margin? How is it Calculated?
Project Margin Definition Project margin is a critical KPI (Key Performance Indicator) that determines an organization's financial success. It highlights...
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Introductory Guide to Understanding Performance Metrics
What are performance metrics? Performance metrics are data that represent an organization’s performance, abilities, and actions. These metrics provide an...
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What is Avoided Cost and What is its Significance as a KPI?
Definition of Avoided CostAvoided cost is a KPI that measures the expenses that would have been incurred if a resource...
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What is Operating Cash Flow, and How can you Calculate with Examples?
Operating cash flow (OCF) is the cash a business generates from regular operations. It doesn't consider secondary revenue sources such...
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What is the Cost Performance Index, and How is it Calculated?
As a project manager, performance is everything. Businesses invest their time, capital, and human resources into making projects work successfully....
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Net Retention Rate: How do you measure and improve this KPI?
Net Retention Rate (NRR) is a crucial KPI for any business. It measures the percentage of customers who continue to...
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Customer Lifetime Value (CLV)
Customer lifetime value is the profit an enterprise can generate from a single customer throughout the business relationship. Do you...
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Customer Acquisition Cost: How do you measure and improve this KPI?
In only a few short years, the cost of acquiring new customers has increased more than 60%. And with the...
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What is KPI?
You may hear people talk about key performance indicators, but you may not understand what they entail. After all, the...
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3 Ways to Leverage Marketing KPIs to Reduce Customer Churn
As a business owner, there’s nothing quite as satisfying as repeat business from your customers Besides the sense of satisfaction,...
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Improving Material Management: Planning & Tackling Discrepancies in Inventory Management
Introduction To produce anything, including services, businesses of all shapes and sizes need raw materials and equipment. The process through...
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Time to Resolution
OKRs help teams set objectives that can help teams determine what is expected of them and their performance. Everyone on...
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Sharpe Ratio
In order to be sound in your financial goals, you need to have a great source of knowledge on every...
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Asset Coverage Ratio
This article covers the far-reaching topic of the asset coverage ratio. We’re talking about a risk measurement whose aim is...
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Build Time
When you work in a company, you will obviously want every process to stay stable and healthy. You will also...
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Average replies per ticket
OKRs are goal-setting tools that deliver disciplined execution of goals and ideas. As an organization you should definitely need to...
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Account Summary
Moving on, when it comes to account summary, this usually refers to the way in which a customer service agent...
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Average Customer Satisfaction Score (Average CSAT Score)
As you were growing your business, you would have come up with strategies that strengthen the relationship between what your...
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Average time to find a hire
OKRs are the most prominent task and performance management tool that allows organizations to manage the overall performance of the...
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Average time to fill a job vacancy
Human Resource (HR) is a critical business function that recruits and nurtures the most precious resource for the organization –...
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Average Tenure
There are many ways you can determine an employee’s satisfaction with their job. You might ask them to rate their...
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Benefits Satisfaction
“What kind of benefits does your company offer?” This might very well be the first question a potential employee asks....
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Candidates Interviewed per Hire
The discussion regarding the most important metrics in human resources is open to debate. However, most people agree on the...
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Cost per hire
Cost per hire refers to the amount of money your company spends to hire recruiting talent. The total cost spent...
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Cycle Time to Process Payroll
While most organizations tend to overlook and underrate HR metrics, their efficiency in assessing the policies, employees and other important...
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Cycle time to resolve payroll errors
HR metrics are generally overlooked by most organizations but underrating them might not be the best idea – particularly if...
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Diversity numbers/Nationalities in the work force
When you own a company, you know that the employees are going to be different from each other. They are...
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Diversity Rate
The Diversity Rate metric is important for a company because of several reasons. Probably the most important one is the...
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Effectiveness of training
A common mistake that companies make when onboarding new employees is conducting inadequate training sessions. At times, an employee might...
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Employee Productivity Rate
There’s a rule of thumb that applies to all companies in the world: the employees are divided into productive and...
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Employee Satisfaction Index
It should come as no surprise that if they are unhappy, employees will leave the company that they work for....
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First Year Voluntary Termination Rate
The First Year Voluntary Termination Rate is yet another Human Resources metric – of course, it’s also one that’s very...
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Health Care Expense per Current Employee
It goes without saying that most employers try to offer their employees the best healthcare plans. However, health care plans...
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Hiring Process Satisfaction Rate
As CEO or part of the management’s team of a certain company, you will rarely look into how the hiring...
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Involuntary Termination Rate
The termination rate of a company is the percentage of people that decide (or are forced) to leave the company...
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Knowledge achieved with training
Each entrepreneur is concerned about the prosperity of their business. And a business’ prosperity is naturally linked with the productivity...
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Net Promotor Score
You’ve probably heard a lot of people complain about their workplace. They talk about how bad it is, and how...
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New hire 90-Day Failure Rate
The New Hire 90-Day Failure Rate is a Human Resources metric that’s used by businesses and companies in order to...
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Number of Contractors
As a company, you probably have your own employees that you can rely on a daily basis. They are your...
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Number of D&I initiatives implemented
Diversity and inclusion in the workspace represent a sensitive topic that every employer must know of and apply. And not...
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Number of Employee Satisfaction Surveys
By now you should already be familiar with the Employee Satisfaction Survey, which should be taken once every 6 months....
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Number of Full-Time Employees
Introduction As a company owner, understanding the number of full-time employees is crucial for several reasons. While part-time employees play...
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Percentage of Cost of Workforce
When it comes to HR metrics, the cost of workforce is the elephant and the room and the reason for...
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Percentage of Employees Trained in Company Culture
A company needs to perform well, and if you’re an owner, you know a lot about that. Not only you...
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Percentage of Employees Trained
There are several situations in which your new employees could require training. For example, after a month of them being...
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Percentage of Job Candidates Who Meet Job Criteria
When candidates apply for a job, they don’t always know everything it includes. Some of them meet the job criteria,...
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Percentage of Vacation Days Used
In order to maintain a healthy life and work properly too, employees need vacations. In order to make that possible,...
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Percentage of Workforce below Performance Standards
As an entrepreneur of a successful company, you want your employees to perform well. Sometimes, the term well is difficult...
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Performance of New Hires
Employees, regardless of how long they’ve been employed at your company for, need to have a good performance. It is...
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Rate of Internal Job Hires
There are so many metrics that it’s hard to keep track of each and every one of them. One of...
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Rate of Internal Referral Hires
Employees need to have a certain set of skills, as well as a lot of knowledge in the domain. When...
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Retirement Rate
Those who start up their new business do so with a plan: to be successful in their business in the...
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Return On Investment (ROI)
If anyone is getting into business without having no clue what the ROI is, they are in some serious trouble....
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Salary Competitiveness Ratio (SCR)
If you’ve worked in a company for years on end, you probably realized that people want better salaries not on...
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Training Cost per Employee
As you probably already know, simply hiring someone may not be enough to boost the performance of a certain department...
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Turnover Rate for Highest Performers
Companies hate it when their people leave – but they hate it even more when a valuable person with vast...
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Voluntary Termination Rate
It’s very rare that an employment at a certain company lasts for a lifetime – mainly because the average person...
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Yield Percentage
How can a company assess that its recruiting process is efficient or not? One of the ways in which you...
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Return on Assets
The return on total assets can show if the managing team is effective at earning money from the company’s assets...
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Retention Ratio
The retention ratio or plow back ratio is the calculation that shows you exactly what percentage of your net income...
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Residual Income
Residual income refers to the amount of money that is left after all the expenses have been paid for a...
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Receivables Turnover Ratio
To start with, the accounts receivable turnover represents an efficiency ratio. Thus, its main purpose is to assess the number...
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R-Squared (R2)
Also known as the coefficient of determination, r-squared is the statistical measurement that comes from the correlation made between the...
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Quick Ratio – Acid Test
The quick ratio, also known as acid test ratio, is used to measure a company’s ability to pay off its...
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Profit Margin Ratio
In order to measure the amount of net income earned by a company with each dollar sales that are generated...
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Price to Sales
Also a financial metric, the price to sales ratio is used to measure the value that the investors put on...
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Price to Earnings P/E Ratio
In today’s post, we’d like to focus our attention on the price to earnings ratio. This is a prospect ratio...
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Price to Cash Flow
The price of a company is compared to the underlying cash flow by using the Price to Cash Flow profitability...
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Price to Book Ratio
The price to book ratio is renowned as an important financial valuation tool. Essentially, it is utilized in an attempt...
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Present Value (PV)
The present value is, many times, referred to as the discounted value – and it a widely used financial formula....
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Preferred Dividend Coverage Ratio
This article will focus on presenting the specifications of the preferred dividend coverage ratio. This ratio assesses a corporation’s financial...
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Payback Period
The payback period is a financial capital budgeting method that estimates the amount of time needed for an investment to...
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Accounts Payable Turnover Ratio
The accounts payable turnover ratio is a liquidity ratio that indicates the ability a company has to repay its accounts...
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Operating Leverage
If you’ve accessed this page, you are probably eager to find out more about operating leverage. Well, operating leverage is...
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Operating Income
If you clicked on this article, you’re probably interested in operating income and what it means. Well, it will tell...
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Operating Cash Flow
If you’re a beginner when it comes to finances, you would probably want to know what the operating cash flow...
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Net Operating Profit After Tax
If you wanted to know what the Net Operating Profit after Tax is and how it works, you came to...
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Net Working Capital
Ever heard the term “networking capital”, but you didn’t know what it means? If that’s the case, this article comes...
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Net Profit Margin
The net profit margin is used to find out whether a business is poorly managed and to see future profitability....
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Net Present Value (NPV)
The net present value is used to calculate the difference between the cash inflows and outflows of a potential investment...
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Net Operating Income
If you work for a real estate agency, you may have heard about net operating income. This is a profitability...
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Net Interest Margin
How well you administer your money is mainly up to you. However, the net interest margin ratio is a term...
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Net Income
Net income also known as bottom line or net profit- is the amount of money that remains after you pay...
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Net Fixed Assets
Ever wondered how much 100 gums cost 20 years ago compared to today? Such calculations are simple, but for a...
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Return on Capital Employed
To better understand what the return on capital employed means, first we need to understand what the capital employed is....
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Long Term Debt to Assets
When it comes to being in debt, no one likes that, especially companies, where “profit” is the most used word....
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Marginal Revenue
This is a term used in microeconomics, and it’s quite a well-known formula. However, in order to get a better...
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Margin of Safety
Everybody needs to break even, so this ratio will give you the insight of what goes too much or too...
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Loan to Value
Abbreviated as LTV, the loan to value ratio is a risk assessment measurement. It is used to calculate the amount...
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Internal Rate of Return
The internal rate of return, also abbreviated as IRR, is used to identify which future projects or capital investments will...
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Interest Coverage Ratio
The financial ratio known as interest coverage ratio determines whether a company is able to make interest payments on its...
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Gross vs. Net
Gross and net usually refer to income and it is also something that seems quite difficult to understand for some...
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Gross Profit
The profitability ratio called gross profit (also known as gross profit margin) is used to calculate the percentage of sales...
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Gross Margin Ratio
Also a profitability ratio, the gross margin ratio compares a business’ gross margin to its net sales, measuring if a...
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Goodwill to Assets
The financial measurement called goodwill to assets is used to compare the intangible assets of a company – like a...
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Free Cash Flow
Usually abbreviated as FCF, the Free Cash Flow is an efficiency as well as a liquidity ratio. It calculates how...
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Fixed Charge Coverage Ratio
Whether a company is able to pay off its fixed charges or expenses with its own income or not –...
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Fixed Asset Turnover Ratio
If you’re wondering what this ratio is, you’re just about to find out. It’s an efficiency ratio that measures a...
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Return on Equity
Before we engage in explaining the formula, you need to know what the difference between a shareholder and a stakeholder...
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Expense Ratio
Have you heard the term “expense ratio”, but it confused you? In that case, you’ve come to the right place,...
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Return On Invested Capital
If you are the accountant of a business, there are certain things that you may want to keep in mind...
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Equity Ratio
An equity ratio calculates the number of assets financed by owners’ investments. Basically, it does so by comparing the total...
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Return on Investment
As an investor, you will want to know that the company you are placing your bets on will bring a...
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Return On Net Assets
RONA - It may sound like some fancy name for a fancy person, but it’s actually the name of a...
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Equity Multiplier
You may be wondering what equity multiplier means. Well, it’s a leverage ratio that basically measures the part of the...
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Return On Operating Assets
A company needs a fair number of operating assets in order to continue functioning. This is practically what keeps the...
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Return On Retained Earnings
The amount of money you allocate for the growth of the company tells a lot about the growth potential of...
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Return on Sales
This financial ratio is used to show how efficient a company is at using its revenue in order to generate...
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Rule of 72
If you want to see for how long you have to invest your money in order to double it, with...
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Sales to Admin Expenses
This efficiency ratio is used to measure if a company is efficient at managing its non-operating expenses in order to...
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Enterprise Value explained
The enterprise value (EV) is a direct representative of the economic value of a company – in other words, how...
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The basics of EBITDA
When you want to understand how a certain company thrives in a particular industry, you need to have certain formulas...
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Sortino Ratio
The Sortino ratio is an alternative to the Sharpe ratio, as it isolates the effects volatility has on investments. This...
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