What is Inventory Turnover Ratio?

A business may report good sales and profit but still face cash-flow problems if too much money is blocked in unsold stock. This is where the Inventory Turnover Ratio becomes useful. It tells a...

What is the Operating Profit Ratio?

The Operating Profit Ratio is a financial profitability ratio that indicates the link between a company’s operating profit and net sales. It assesses how effectively a company generates profit...

Significance of Gross Profit Ratio

In today’s competitive financial market, every business owner, startup creator, and investor must understand the importance of the Gross Profit Ratio. Sharda Associates provides skilled...

How to calculate the Quick ratio

Sharda Associates offers experienced financial consulting services throughout India, including accounting support, project reports, GST registration, income tax filing, loan paperwork, and corporate...

Significance of the current ratio

After three years of increasing sales, a shop owner in Bhopal once questioned why his loan was delayed. His income has nothing to do with the solution. His balance sheet had a current ratio of 0.85 in...

How to calculate the current ratio?

The current ratio compares what a business owns short-term against what it owes short-term. The formula itself takes five seconds to write down. Getting the right numbers into it — pulled correctly...

Advantages & Limitations of Ratio Analysis

Financial statements contain hundreds of figures, but looking at them individually does not always inform a business owner if the company is doing well. A profit of ₹20 lakh may appear good until...

What Is Section 15 of the Income Tax Act?

Sharda Associates offers experienced assistance for income tax filing, project reports, GST services, business registration, and financial consulting throughout India. Our skilled professionals assist...

Amendment in tax laws from 1st April 2021

Income-tax rules change frequently, and an amendment that was important when introduced may not necessarily remain applicable in the same form five years later. Several significant tax changes were...