what are profitability ratios?
- 4 Answers
- 6088 Views
- BA Continnum Solutions, FirstSource, I also Faced
- E-Mail Answers
Answer Posted / 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 |
Post New Answer View All Answers
what is the process of cenvat credit taken in service tax( in direct & indirect service)
Plz Ask from me New Accounting Questions.
Give Any three special cases of computation of capital Gain U/s 45(1A) to 45(6)?
What are the characteristic features of financial accounting?
Is it possible to change the accounting period under Indian GAAP from 1/Apr-31March to 1/January-31/December? There is any restriction in doing that, i mean for example for fisal purposes? Thank you all!
how go make jaggery sales and purchace bill in tally 7.2,jaggery lumbs comes in different weight not fixxed weight and i want stock in lumbs and bill amount in rupees (exp.lumbs/weight/rate/amount-1000/102.50/2500/256250)
In tally when accounts with inventory ,when working in units of measurement under this after creating unit ,if we want to change the unit due to some mistake why does the cursor does not stop in the decimal field? And why the used units do not get deleted in the alter section?
what is a state cheque? how it differes from stale cheque?
if any otion in tallyerp9 version about doing Luxury tax work
how to pass entry in tally Rs 50000 cheque paid to son by father
What is the definition(meaning) for the Final accounts adjustment 'Uninsured goods lost fire'?
any one provide me mm & fi configration steps
what is the Journal entry for credit card bill paid from same bank account
Recent banking question for 2015 interview for scale2 exam of sbm
what is loan operations and what are the complete process form from making customer to closure of loan
