Conference paper

THE ANALYSIS OF THEORETICAL APPROACHES FOR CALCULATING TURNOVER RATIOS

Ruta Sneidere ; Faculty of Management and Economics, University of Latvia
Lūcija Kavale ; Faculty of Management and Economics, University of Latvia

Abstract

The methods of financial analysis are widely used to estimate a company's financial position and results of business activities. Studying scientific literature of the theoretical guidelines for the financial statement analysis we can find different approaches. The aim of the research is to study methods of turnover financial ratios calculations and basing on the empirical research findings to develop the recommendations for improvement the methods for it. The authors of this paper are studying theoretically different scientist`s findings for using book value or average value of balance sheet analyzing such important ratios as turnover of companies. For the empirical research the data from annual statements of Latvian companies of manufacturing and trade branches are used. In the research the authors have applied quantitative and qualitative methods of economics such as the mathematical and the statistical methods, the ratio analysis, the graphical method, the logically – constructive methods. At the end of the research the authors give the summary of general conclusions and findings.

Keywords

accounting; analysis; methods; turnover

Hrčak ID:

161414

URI

https://hrcak.srce.hr/161414

Publication date:

27.9.2013.

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