These are always useful, but are particularly so if a business is in trouble.
You should know what is acceptable and you should monitor trends over a period.
If things are going wrong, this may spotlight the dangers and indicate where remedial action is needed.
Gearing and the number of days' credit given and taken may be especially useful.
You should know what is acceptable and you should monitor trends over a period.
If things are going wrong, this may spotlight the dangers and indicate where remedial action is needed.
Gearing and the number of days' credit given and taken may be especially useful.
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