It is found by dividing one number by the other.”Īccording to Kennedy and McMullar, “The relationship of one term to another, expressed in simple mathematical form is known as ratio.”Įxpression of Ratios: 1. ![]() Anthony, “A ratio is simply one number, expressed in terms of another. Accounting ratio is, thus, an arithmetical relationship between two accounting variables.Īccording to R. Ratios, when calculated on the basis of accounting information, are called ‘Accounting Ratios’. Meaning of Ratio: Ratio is an arithmetical expression of relationship between two related or interdependent items. Ratio Analysis Bcom Notes:- In this post, you will get the notes of B.com 3rd year Financial Management, by reading this post you can score well in the exam, hope that this post has helped you with this post to all your friends and all groups right now I must share it so that every student can read this post and it can also be helped in this post. ![]() 1.2 Meaning and Definition of Ratio Analysis.
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