Interested to Buy Any Domain ? << Click Here >> for more details...
what are profitability ratios?
- 4 Answers
- 7683 Views
- BA Continnum Solutions, FirstSource, I also Faced
- E-Mail Answers
Answers were Sorted based on User's Feedback
Answer / amandeep kaur
I measures profitability of the company. it is calculated by relating profits to sales, investment or shares.
TYPES:-
1) ROI(Return on investment):- EAT/TOTAL ASSETS.
2) ROE(Return on equity) :- EAT/OWNERS EQUITY.
3) Gross profit ratio :- Gross profit/sales * 100
4) Net profit ratio :- EAT/sales * 100
5) Operating profit ratio :- EBIT/sales * 100
(EAT- Earnings after tax, EBIT- Earnings before interest and tax.)
| Is This Answer Correct ? | 5 Yes | 0 No |
Answer / sheena
profitablity ratios are mainly two types.
1.profitablity as related to sales
Gross profit ratio,Net profit Ratio,Operating
profit Ratio.
2.Profitability as realted to investments
Return on capital employed, Return on Equity funds.
With the help of this ratio we can judge the managerial
efficiency which may not be reflected in net profit ratio.
| Is This Answer Correct ? | 5 Yes | 1 No |
Answer / abhishek kumar
salary a/c dr.
advance salary to employee a/c dr
bank a/c cr.
after this in july months
salary a/c dr
bank a/c cr.
advance salary to party a/c cr.
in august months
same as above
advance salary means, loan & advance( current assets)
| Is This Answer Correct ? | 4 Yes | 15 No |
When Iam entering sales in Tally ERP 9, It Is not reflecting in the stock, Why itt is happends like this ? I entered sales with delivery note Number, So think that is because it is not reflecting in Stocks, and when iam checking in the stocks its saying negative stock
0 Answers Abradant International,
Please tell me what is the journal entry of closing balance ?
What is a comprehensive income?
i want to know f form and how to use and how can purchase
what is account reconcillation
How to do accounting entries in Accounts Payable
What are the items that are to be debited in accounting and what are the items that are to be credited in accounting?
WHILE WORKING DEPERICATION OF AN MACHINERY ASSET WHAT IS THE PERCENTAGE TO BE TAKEN & FOR HOW MANY YEARS IT HAS TO BE TAKEN.
what is the entry of credit card received excess amount entry in tally and their under group names
what is liability
How to pass workscontract sale invoice which includes WCT & VAT.
3- Does petty cash book link to cash book, explain?
Audit 
