capital intensity

Definition

Measure of a firm's efficiency in deployment of its assets, computed as a ratio of the total value of assets to sales revenue generated over a given period. Capital intensity indicates how much money is invested to produce one dollar of sales revenue. Formula: Total assets ÷ Sales revenue.

Popular 'Accounting & Auditing' Terms

capital intensity in the news

Loading...

This content can be found on the following page:

http://www.businessdictionary.com/definition/capital-intensity.html

Search for another term



Tools

capital intensity is...

... in the Accounting & Auditing, Banking, Commerce & Finance and Investing subjects.

Nearby Terms

Search volume for capital intensity

Browse by Letter: # A B C D E F G H I J K L M N O P Q R S T U V W X Y Z