Financial Ratios Numerator Denominator Liquidity Measures Current Ratio Total Current Assets Total Current Liabilities Quick Ratio Total Current Assets Excluding Inventories Total Current Liabilities Working capital measures Net Working Capital Ratio Net Working Capital Total Assets Asset Management measures Inventory Turnover Net Sales Average Inventory Fixed Assets Turnover Net Sales Average Net Fixed Assets Fixed Assets to Shareholders Funds Net Fixed Assets Shareholders Funds Profitability Measures Net Profit Ratio Net Earnings Sales of Goods and Services Gross Profit Ratio Sales minus Cost of Goods and Services Sales of Goods and Services Return on Equity Net Earnings Shareholders Funds Leverage Measures Debt Equity Ratio Long-term Borrowings Shareholders Funds Debt Ratio Debt Total Assets Return On Investment Measures Return on Investment Net Earnings Total Assets