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Ratio builder: Overview

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Summary

MindBridge's ratio builder is a robust tool that allows you to create your own financial ratios. Learn about the ratio builder and the important fields used in it. 


Go to the Ratios tab

  1. Select the logo in the MindBridge sidebar
    You will go to the Organizations page.
  2. Select View in line with the desired organization, or click anywhere in the organization row. 
    You will go to the Engagements page.
  3. Select View in line with the desired engagement, or click anywhere in the engagement row. 
    You will go to the Data page.
  4. Select View Analysis in line with the desired analysis. 
    You will go to the Analyze page.
  5. Select the Ratios tab.

Tip: If you are already in an analysis, simply use the sidebar to open the Analyze menu, then select the name of the analysis you want to see and go to the Ratios tab.


Fields

When building a ratio, fields contain a term and an operator.

  • Term: A quantifiable element in your ratio
  • Operator: The mathematical expression to be performed on the element (the only field that does not contain an operator is the first field of a row)
Note: When building ratios, note that debits and credits retain their positive and negative signs. If you are converting a ratio that has a credit balance in the numerator or denominator, you will need to add [* -1] to the credit balance in order for the ratio to be presented as a positive balance. For example, a current ratio formula will be: 12002 Current assets, Ending Balance divided by22002 Current liabilities, Ending Balance * -1.

Example

  1. This field contains a term.
  2. This field contains a term and an operator.

The first term is being multiplied by 365, then divided by a third term: Days in the YTD period

Ratio builder fields.png


Account modifiers

When adding an account to a ratio you can select a modifier to change the values of the account. The following modifiers are available:

  • Average Daily Balance: The average daily ending balance of the account throughout the period. This is calculated as (starting balance for the period + ending balance for the period) / 2.
  • *Ending Balance: The balance of the account at the end of the period.
  • Credit Amount: The sum of all credit entries to the account within the period.
  • Debit Amount: The sum of all debit entries to the account within the period.
  • Activity: The net activity (debits minus credits) within the period.
  • Opening Balance: The balance of the account at the start of the period.
  • Risk Average: This is the MindBridge score (i.e., the average overall risk score of entries to the account within the period).
  • Cumulative Year-to-Date Activity: The sum of all activity in the account (net debits minus credits) from the start of the analysis period to the end of the reporting period.
*Note: The ending balance is the default account selection when building ratios.

Add fields

  1. Select Add in the respective row.
  2. Choose the term you'd like to add to the row.

Add a new field between existing fields

  1. Open the more actions menu ( More actions menu icon.svg ) beside the existing field to open a menu.
  2. Select Add new field left or Add new field right depending on where you want the new field to be created.

Replace and delete fields

Some complex ratios require a multitude of fields in each row. Replacing or deleting fields allows you to quickly and easily make adjustments.

  1. Open the more actions menu ( More_actions_menu_icon.svg ) beside the existing field to open a menu.
  2. Select Replace current field or Delete current field.
  3. You can also delete the entire row be selecting the delete icon ( Delete icon.svg ) to the right of the row.


Define or change an operator

  1. Select the operator symbol to open a menu.
  2. Select the operator you want to use in the ratio:
    • * (multiplication) 
    • / (division) 
    • + (addition) 
    • - (subtraction)


Bracket groups

To add a bracket group to your row:

  1. Select Add to open the menu.
  2. Select Bracket Group.
  3. Adjust the term and operator, and/or add more terms within the bracket group.


Anything else on your mind? Chat with us or submit a request for further assistance.


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