Asset activity ratios

Asset activity ratios

Ratios that measure how effectively the firm is managing its assets.

Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Asset Activity Ratios

Any ratio that measures how well or how poorly a person or company is managing assets. For example, one may compare assets to debt to ensure that debt remains at a manageable level. Likewise one may compare assets to cash flow or any number of other metrics. See also: Asset Turnover Ratio.

Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved