Financial Ratios Rough Guidelines

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Turnover

10 to 12

Return on Assets

15%

Return on Equity/investment

19%

Current

2 to 5

Gross Profit Margin

23%

Net Profit Margin

3%

Turnover in Days

30 to 36

Debt to Equity

<0.8

Quick

>1 , 1 to 2 for Rx, Avg 1.6


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