This document contains definitions and explanations of various financial ratios used to analyze companies, including: total liabilities to total assets, which measures proportion of borrowed to invested capital; total liabilities to stockholder's equity, which measures resources from owners vs creditors; cash flows from operations to total liabilities, which indicates ability to repay long term debts; income before interest and taxes to interest expense, with a ratio under 1 being inadequate; net income to annual preferred dividends, measuring ability to pay dividends; and profit margin/return on sales, which indicates amount of profit per dollar of sales.