What is Churn Rate

What is Churn Rate?

What is Churn Rate? The churn rate measures customers moving out of a business in a given time. It is also known as the attrition rate. Expressed in percentages, it also finds the number of employees or students leaving the organization. A company’s growth rate must exceed the churn rate to increase revenue. An increasing […]
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Definition of Overhead Ratio

What is Overhead Ratio ?

Definition of Overhead Ratio Operating costs consist of marketing, office rent, professional fees, utilities, insurance, equipment servicing, devaluation or plants or equipment, etc. Brief Explanation of Overhead Ratio It is a metric that allows organizations to evaluate costs as a percentage of revenue. In common, an organization strives to achieve the lowest operating costs possible […]
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Definition of Net Interest Margin

What is Net Interest Margin ?

Definition of Net Interest Margin Net Interest Margin is a performance measurement that investigates how effective a company’s financial commitment choices are compared to its debt situations. Brief Explanation of Net Interest Margin A negative value signifies that the company did not make a maximum decision because interest costs were greater than the amount of […]
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Definition of Net Debt Per Capita ?

What is Net Debt Per Capita ?

Definition of Net Debt Per Capita A statistic of the value of national debts indicated in terms of the quantity because of each citizen under the national authority. Brief explanation Net Debt Per Capita The level of net debts per domestic is an important aspect to consider when examining a national capability to continue paying […]
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Definition of Current Ratio

What is Current Ratio?

Definition The current ratio is the liquidity ratio which is used to measure the ability of a company to pay its short term obligations. This measure is related to the company’s total assets and total liabilities. If this ratio is high, it means that company has sufficient liquidity to pay its short term liabilities. Explanation […]
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