Banks use CMA data to assess the creditworthiness of a business, determine the maximum permissible bank finance (MPBF), and evaluate the business’s repayment capacity. 5. What ratios are crucial in CMA data? Important ratios include the current ratio, quick ratio, debt to equity ratio, gross profit margin, and net profit margin. 6., Current Ratio – Benchmark Current Ratio is 1.33 and ordinarily not below 1.17. Debt Service Coverage Ratio (DSCR): Benchmark for average DSCR is 1.50 and ordinarily not below 1.40. Interest Service Coverage Ratio (ISCR): Benchmark ISCR is 2.50 and ordinarily not below 2.00. TOL / TNW: Benchmark is 4.00 and ordinarily not above 5.00., Ratio analysis: This is the last statement which gives the key ratios to the banker based on the CMA data prepared and submitted to the bank for finance. Basic key ratios are Gross profit ratio, net profit ratio, current ratio, DP limit, MPBF, Net worth, ratio of net worth with Liabilities, quick ratio, stock turnover, asset turnover, fixed , CMA data is mostly used for ratio analysis. We have to give realistic figures before our investors/bankers by using ratio analysis by presenting figures in a comparative format. The following is the most commonly used ratio when preparing CMA data: • Gross Profit Ratio (%) • Operating Cost Ratio (%) • Operating Profit Ratio (%), The main purpose of CMA data is ratio analysis. By presenting figures in comparative format, we have to present realistic figures before our investors/ banker by using ratio analysis. Mainly used ratio while preparing CMA Data is as below: Gross Profit Ratio (%) Operating Cost Ratio (%) Operating Profit Ratio (%) Net Profit Ratio (%), Banks use CMA data to assess the creditworthiness of a business, determine the maximum permissible bank finance (MPBF), and evaluate the business’s repayment capacity. 5. What ratios are crucial in CMA data? Important ratios include the current ratio, quick ratio, debt-equity ratio, gross profit margin, and net profit margin. 6..