How Does the Total Expense Ratio (TER) Differ From the Gross Expense Ratio (GER)? Thegross expense ratio (GER)is the total percentage of a mutual fund’s assets that are devoted to running the fund. In some cases, a fund may have agreements in place for waiving, reimbursing, or recoupi...
The Federal Reserve requires banks to keep a percentage of all deposits in reserve. The bank cannot loan or invest its reserve funds. If the average currency-deposit ratio increases, meaning that everyone keeps more cash on hand, banks' ability to lend decreases. The decrease in available money...
The term becomes increasingly significant when you want to calculate the potential income you are expecting from the loan. If your loan shows healthy potential, you know it is worth taking the debt; if not, then you might as well think of other options to accomplish your business goals. Ther...
Multiply the result from Step 4 by 100 to express the cash flow on total assets ratio as a percentage. Obtain the data needed for the expense ratio calculation. Specifically, you will need the mutual fund's costs, which include the management fee of total average assets, the 12b-1 distribu...
To answer this question, we’ve compiled a detailed look into:What makes up rental rates Why rental rates vary What average rental rates are todayHow Rental Rates Are CalculatedBefore we begin, it is important to understand exactly how to calculate your total annual rent expense. To find the...
A leverage ratio is a type of financial measurement used in finance, business, and economics to evaluate the level of debt relative to another financial metric.
It’s also possible to calculate the variable expense ratio over a period of time. Imagine that the same sporting goods company is selling a line of tennis rackets. Over a period of a month, sales reach $20,000. The variable cost of producing those water bottles is $1,000. ...
Who Should Calculate Average Inventory? The inventory manager, who may also be in charge ofstocktaking, is typically the one who calculates average inventory for larger businesses. A lot of smaller companies, however, lack the funding to hire an inventory manager. ...
We’ll explore billable hours and non-billable hours, and then examine how to calculate and track billable hours. We’ll also take a look at the benefits of tracking billable hours and strategies for increasing billable hours to help you increase profits and grow your small business....
This is the average length of time a customer continues their relationship with your business. Now that you know how to calculate your LTV, we’ll move on to CAC. How to calculate customer acquisition cost (CAC) Calculating customer acquisition cost isn’t difficult. And once we have it,...