Complete this interactive activity to understand how to use ratio to solve problems. Then test your knowledge. There are 6 cupcakes in a batch - 4 chocolate cupcakes and 2 strawberry cupcakes.

These ratios can also be used to provide key indicators of organizational performance, making it possible to identify which companies are outperforming their peers. Managers can also use financial ...

For example, if a company's stock trades at $75 and its EPS is $3, investors are paying $25 for every $1 of earnings, resulting in the following: P/E Ratio: 25 = $75 ÷ $3. Investors use two ...

The use of the ratio 1:2.25 allowed the stylobate to fit easily within a slightly broader krepis and these ratios allowed the ...

while a falling ratio may indicate short covering or renewed investor confidence. Traders use this metric alongside other indicators to assess potential price movements and market sentiment shifts.

While using total debt in the numerator of the debt-to-equity ratio is common, a more revealing method would use net debt, or total debt minus cash and cash equivalents the company holds.

The short interest ratio helps traders and analysts understand market sentiment and potential price moves. It compares the number of shares sold short to the average daily trading volume.