accounting ratio
- noun
- /əˈkaʊntɪŋ ˈreɪʃioʊ/
- Specialized
:
razón contable
- The company's accounting ratio indicated a significant increase in profitability over the past year.
- three accounting ratios
Examples
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The regression prediction DA feature consisted of only the three accounting ratios and provided a credit rating estimate of the applicants five years in the future.
Academic text (2003) -
The historical database DA feature contained a random selection of 20 prior applicants and displayed the three accounting ratios, location, and credit rating of each applicant.
Academic text (2003) -
For each model-building sample, the three accounting ratios were regressed on their values to obtain the regression aid equation used to calculate the regression aid's estimate of clients' credit ratings.
Academic text (2003) -
Investors often look at the accounting ratio to determine how well a company is managing its finances.
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Understanding the accounting ratios is essential for evaluating a business's financial health.
Synonyms
240
2.8
A relationship between two numbers showing how many times one is in the other
123
3.5
A part of a whole often shown as a fraction or ratio
A number that compares two money amounts in a company's accounts to show how well the company is doing
How Complex
- Specialized
- Specialized
298
4.4
- Specialized
1
3.5
- Specialized
- Specialized
240
2.8
Surface Forms
Morphology
The meaning 'a numerical relationship between two figures from financial statements' is directly derivable from combining 'accounting' (financial record-keeping) with 'ratio' (a numeric relation). This is a straightforward noun-noun compound following common compositional patterns, so a B1 learner who knows both constituents can reasonably infer the MWE's meaning despite its technical domain.
Etymology
Accounting ratio comes from the simple idea of comparing two numbers in a company's books: accounting means the business records and ratio means one number compared to another. That image of two piles of coins explains why an accounting ratio shows the 'relationship' between two figures and helps judge how a business is doing.