Accounts payable get the balance one year in advance, so the company knows how much it can spend on salaries for its employees. Plus, it also restricts companies from going beyond the budget for the operations. Many times, it’s been seen that companies are not able to pay employees their salaries by the end of […]
Monthly Archives: February 2023
The asset turnover ratio is used to evaluate how efficiently a company is using its assets to drive sales. It can be used to compare how a company is performing compared to its competitors, the rest of the industry, or its past performance. Hence, we use the average total assets across the measured net sales […]