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- To calculate ratio analysis, you need to follow these steps12:
- Determine the purpose of the ratio.
- Set up your formula. Ratios compare two numbers, usually by dividing them.
- Solve the equation. Divide data A by data B to find your ratio.
- Multiply by 100 if you want a percentage. If you want your ratio as a percentage, multiply the answer by 100.
Learn more:✕This summary was generated using AI based on multiple online sources. To view the original source information, use the "Learn more" links.To perform a ratio analysis follow these steps:
- Step 1: Calculate Ratios (provided in the “Calculating Financial Ratios” section below)
- Step 2: Interpret what the ratios mean for your business
www.business2community.com/statistics-pages/rat…Here are the steps to calculating a ratio:
- Determine the purpose of the ratio. You should start by identifying what you want your ratio to show. ...
- Set up your formula. Ratios compare two numbers, usually by dividing them. ...
www.indeed.com/career-advice/career-developme… - People also ask
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