# Ratio Analysis

Ratios used in financial analysis compare companies to or within an industry. We have listed groups of commonly used ratios with links to examples, explanations, and formulas. Continue reading

The Average Daily Balance is the total of the balance at the end of each day during a period divided by the number of days in the period. Learn how to calculate average daily balance (ADB) in this tutorial. Continue reading

The days sales outstanding ratio (DSO) gives an indication of how long it takes to collect accounts receivables, comparing outstanding receivables to average daily sales. This tutorial walks you through the calculation as well as where on the financial statements you’d find the numbers. Continue reading

.