Question:

Mc Cord corp ratios, Days sales uncollected

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Can anyone help me by explaining ratios? I am having trouble with my figures not

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2 ANSWERS


  1. I've completed the Excel template you sent me and sent it back to you.


  2. If the bottom number is higher than the lower number then you will have a decimal or percentage, e.g.,

    10/2 = 5

    10/5 = 2

    10/20 = .50

    Often with a ratio (or rate) you want a denominator higher than the nominator, so you have to establish which way you like the rate, e.g., 5 or .50

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