Series 79: Capital Turnover (a.k.a., Equity Turnover)

Taken from our FINRA Investment Banking Exam

Definition of the term Capital Turnover (a.k.a., Equity Turnover)...

a measure of how efficiently a company uses stockholder equity to generate revenue. It is determined by the equation: equity or capital turnover = annual sales / average stockholders' equity.

Since you're reading about Series 79: Capital Turnover (a.k.a., Equity Turnover), you might also be interested in:

Solomon Exam Prep Study Materials for the Series 79
Please Enable Javascript
to view this content!