有關accounting ratios

Stock Turnover Ratio To analyse stocks a little further it is possible to use ratio analysis. The STOCK TURNOVER RATIO shows how many times over the business has sold the value of its stocks during the year. It is calculated by:-
STOCK TURNOVER RATIO = Cost of goods sold
Stocks
The higher the stock turnover the better, because money is then tiedup for less time in stocks. A quicker stock turnover also means thatthe firm gets to make its profit on the stock quicker, and so the firmshould be more competitive. However, it will vary between industriesand so it is important to compare within an industry.
Itis also possible to express the ratio as a number of days, which issometimes an easier way to understand it. To do this use the followingformula:-
STOCK TURNOVER RATIO (in days) = Average Stocks
(Cost of goods sold/365)
Theresult of this ratio gives the "number of days that on average money istied up in stocks". The longer this is, obviously the worse this is forthe business as the money is not available to be used elsewhere. Sincethe stock is part of the working capital it is important that it is available for use promptly.

而以上的公式，ＳＴＯＣＫＳ是指 Average Stocks，如果間公司跟本上沒有存貨，可想而知那間公司是一間先找到客人，才會向供應商購貨，然後才即時轉手賣給客人，才可以行零存貨策略！

所以這些公司，跟本就是經紀公司！

如果 Stocks 是０，那麼，任何數被０去除都是無限大，亦可以說跟本是冇意義，所以我認為是不用計了！




YOKI WONG
圖片參考：http://tw.yimg.com/i/tw/ugc/rte/smiley_1.gif