When you want to get an idea of a company's financial condition, ratio analysis is one of the tools of the trade.

The article How to Calculate Profitability Ratios for Banks originally appeared on Fool.com. The Motley Fool owns shares of and recommends Wells Fargo.

How to Calculate Financial Ratios of Performance. Financial ratios allow you to break down your company's financial statements and see how it is performing from different angles. Whether you are ...

Businesses often use profitability ratios to gauge their performance against industry benchmarks or competitors. Calculating these ratios involves a straightforward process, typically using ...

Understand the basics of the current ratio, including its use in assessing a company's liquidity and learn how it is calculated in Microsoft Excel.

Some useful financial ratios to calculate Here are some of the most common, and most useful, financial ratios you can calculate for your business, as well as links to more details about the most ...

How well can current assets cover current liabilities? Reviewed by Amy Drury The acid-test ratio (ATR), also commonly known as the quick ratio, measures the liquidity of a company by calculating ...

The overhead ratio measures how much of a company's total revenue is spent on indirect costs. This metric is useful for identifying areas where costs can be reduced to improve profitability ...

Seasonal Factors That Distort Ratio Analysis. Financial ratios are calculations developed using data from a company's financial statements. Managers, investors and lenders analyze financial ratios ...

The acid-test ratio, also known as the quick ratio, measures the liquidity of a company. Learn how to calculate acid-test ratio here.

Learn how to calculate your debt-to-income ratio. Lenders consider DTI when assessing your ability to repay a loan.