Multiple choice

Sale Ratio is calculated as

  1. Sale to Current Assets = Sales : Fixed Assets.

  2. Sale to Fixed Assets = Sale : Fixed Assets.

  3. Sale to Liquid Assets = Sale : Fixed Assets.

  4. Sale to Fixed Assets = Sale : Current Assets.

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

Right answer because we can measure it only by this method  and it plays an important part in financial analysis.