On the other hand, a higher net profit

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Sales Receivable – used by companies to measure how quickly customers pay their bills. This is the average number of days it takes to collect accounts receivable, a metric usually expressed in years Return on Assets – an efficiency ratio that shows how well the operations management team is utilizing its assets to generate profits. Includes all assets.

Including current assets such as accounts receivable and inventory, as well as fixed assets philippines photo editor and real estate operating cash flow   - measures the total cash flow generated by the company's daily operations. This indicator determines the company's financial status and also determines It determines whether the company can maintain positive cash flow.



Or whether you need external financing to cover all expenses Net Profit - measures the amount of money a company makes after subtracting all expenses interest, taxes, operating expenses, etc. from total revenue. Low net income means your company has to contend with issues like poor resource management or an inefficient pricing model.  indicates that your company is doing well Free Cash Flow