Asset utilization ratio is one of the many terms in popular use that a reader may not fully understand. It is not unusual for someone to use a term about which he is not fully informed. However, the site at http://ycharts.com/glossary/terms/asset_utilization gives a reader the opportunity to understand what it means and how it is supposed to be used. Many sites offer explanations about the
. formula, its uses and the reasons one may need to use it.From the site, one learns that the ratio represents how much a company earns for every dollar it holds as assets. So it is a way to see how efficiently a company uses its assets. The site provides a formula so a reader may ascertain how the figures are developed mathematically. It also gives readers links to other sites that may interest them as much as asset ratio does.Financial ratios are shown at http://www.netmba.com/finance/financial/ratios/ in a mathematical type of display, in which words are used in form that is normally used for formulas. It explains various formulas that show a reader how well a company is performing and its financial status. The text appears in a block in the center of an oddly colored page, and much of the space is not used for anything. The information that is presented appears to be factual if not graphically well designed.QFinance has a site at http://www.qfinance.com/balance-sheets-calculations/asset-utilization that provides a full explanation of what asset utilization is and what it measures. It provides a number of balance sheet calculations that may be of interest to accountants and others who have knowledge of the complexities of high finance applications in business. By its own description, the company claims to be the ultimate financial resource, so a reader may judge the reliability of information found there accordingly.
