Inventory turnover ratio and Ring fence: Difference between pages

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An example of an ''activity ratio'' or ''management efficiency ratio''The inventory turnover ratio indicates the number of times stock is completely replaced in a year.
1. To legally separate particular assets or liabilities within a company or other organisationFor example, to shield particular assets from the claims of the creditors of the non-ring fenced part of the entity.


It is calculated as:
2. The legal barrier created for this purpose.


[Cost of sales]/Inventory.
Sometimes written "ringfence".


== See also ==
== See also ==
* [[Activity ratio]]
* [[Bonus issue]]
* [[Efficiency ratio]]
* [[Nil paid]]
* [[Turnover]]
* [[Option premium]]
* [[Pre-emption rights]]
* [[Trombone]]



Revision as of 14:20, 23 October 2012

1. To legally separate particular assets or liabilities within a company or other organisation. For example, to shield particular assets from the claims of the creditors of the non-ring fenced part of the entity.

2. The legal barrier created for this purpose.

Sometimes written "ringfence".

See also