Leverage breakeven analysis when defining business strategy

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Reference no: EM132039536

Please respond to the following with a 250-300 word response:

Discuss the best way to leverage a breakeven analysis when defining a business strategy.

Analyze the 12 financial ratios mentioned in the textbook and determine which is the most useful to the greatest number of small businesses. Explain your rationale.

1. Current ratio

2. Quick ratio

3. Debt-ratio

4. Debt to net worth ratio

5. Times interest earned

6. Average inventory turnover ratio

7. Average collection period ratio

8. Average payable period ratio

9. Net sales to total assets ratio

10. Net profit on sales ratio

11. Net profit to assets ratio

12. Net profit to equity ratio

(Scarborough 231)

Scarborough, Norman M. Effective Small Business Management, 10th Edition. Pearson Learning Solutions, 03/2011. VitalBook file.

The citation provided is a guideline. Please check each citation for accuracy before use.

Reference no: EM132039536

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