Asset quality ratios determines the quality of loans of a financial institution. If the ratio is high the more at risk the loans are. The lower the ratio, the less likely the loan would be at risk.
Ratios are often classified using the following terms: profitability ratios (also known as operating ratios), liquidity ratios, and solvency ratios.
Ratios
They are called equivalent ratios.
Equivalent ratios.
When two ratios form a proportion, the ratios are equal
How do I compute Asset Utilization ratio
How do I compute Asset Utilization ratio
Generally Asset Management ratios is an attempt to compare a company's revenue to their available assets. In other words a company's ability to manage their assets to better sales is measured.
Activity ratios measure how efficiently a company utilizes its assets to generate revenue. They assess the effectiveness of a firm's operations by analyzing how well it converts its resources, such as inventory and receivables, into sales. Common activity ratios include inventory turnover, accounts receivable turnover, and asset turnover, which help stakeholders understand operational performance and asset management. Higher ratios typically indicate better efficiency in asset utilization.
Profit margin and asset turnover
Asset management ratios indicate a) how well a firm is using its assets to support sales b) how efficiently a firm is allocating its liabilities c) the return on assets d) the profitability of the firm
true
there are many profitability ratios which are calculated. some of them are:profit marginoperating margintotal asset turnoverreturn on assets (ROA)return on equity (ROE)
Prudential norms relate to income recognition,asset classification,provisioning of NPAs and capital adequacy ratios( capital to risk weighted asset ratio, CRAR)
Exact Synonym for " asset" is " Plus" but there can be many others like quality, property, etc.
asset
Credit to deposit ratioCapital adequacy ratioNon-performing asset ratioProvision coverage ratioReturn on assets ratio