Click Ratio Name For More Information

• Current Ratio
• EBIT / Interest
• Sales / Receivables
• Sales / Net Fixed Assets
• Cost of Sales / Inventory
• Quick Ratio
• Debt / Worth
• Sales / Working Capital
• Cost of Sales / Payables
• Depreciation / Net Sales
• Officers & Owners Salaries / Net Sales
• Fixed Assets / Tangible Net Worth
• % Profit Before Taxes / Tangible Net Worth
• % Profit Before Taxes / Total Assets
• Net Profit + Depreciation / Current Portion Long Term Debt

Fixed Assets / Tangible Net Worth

Net worth is the owners equity in the company.

What it measures

This ratio measure the percentage of owners equity invested in equipment for the company. 

How is the ratio calculated

Divide fixed assets (including depreciation) by owners equity (net worth).  For example, if the total fixed assets is 50,000 and the owners equity is 125,000 then the ratio is

         50,000
        --------- = .40
        125,000

Target

The target for this ratio is .45