| Dictionary, Encyclopedia and Thesaurus - The Free Dictionary 1,762,345,580 visitors served. |
|
Dictionary/ thesaurus | Medical dictionary | Legal dictionary | Financial dictionary | Acronyms | Idioms | Encyclopedia | Wikipedia encyclopedia | ? |
Capital Turnover |
0.01 sec. |
|
Capital turnover Calculated by dividing annual sales by average stockholder equity (net worth). The ratio indicates how much a company could grow its current capital investment level. Low capital turnover generally corresponds to high profit margins.
Capital Turnover A ratio of how effectively a publicly-traded company manages the capital invested in it to produce revenues. It is calculated by taking the total of the company's annual sales and dividing it by the average stockholder equity ? the average amount of money invested in the company. A high ratio indicates that the company is using its capital well, while a low ratio indicates the opposite. It is also called equity turnover. How to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit webmaster's page for free fun content. |
|
| ? Mentioned in | ? References in periodicals archive | |
|---|---|---|
| In order to reach our target of 30% ROI, excluding pension costs, we must deliver on organic growth and selective acquisitions, continue to lower our cost base and improve our capital turnover. the capital turnover ratio showed a marked increase with sales representing 3. During the restructuring, the company eliminated approximately $250 million of low-margin and nonstrategic business, reduced yearly fixed operating costs by over $125 million, reduced production capacity by 30 percent, and improved working capital turnover by 25 percent. |
| Financial Dictionary |
| Free Tools: |
For surfers:
Free toolbar & extensions |
Word of the Day |
Help
For webmasters: Free content | Linking | Lookup box | Double-click lookup | Partner with us |
|---|