Dig deeper into reasons why and develop initiatives to reverse the trend. For example, if accounts receivable spiked mid-year due to a temporary system issue slowing collections, the balances around that blip may skew the average higher. Follow this step-by-step

Strict vendor management procedures, including regular vendor master file audits, help prevent fraudulent vendors. Secure check stock management and dual signatures on high-value checks are important for payment security. Additionally, regular staff training on fraud prevention and company policies is

She has years of experience in SEO-optimized content creation and focuses on personal finance, investing and banking. Asset Turnover Calculation (Formula) Thus, a sustainable balance must be struck between being efficient while also spending enough to be at the forefront of any new

While the financial statements are closely intertwined and necessary to understand a company’s financial health, the balance sheet is particularly useful for ratio analysis. A balance sheet explains the financial position of a company at a specific point in time.