Practicing Success
Every company analyses its earning capacity of the business which is the outcome of the utilisation of resources employed in the business. To analyse profitability company can use Choose the choose answer from the option given below: |
C and E only C, D and E only A, B and C only A. C and E only |
A, B and C only |
Profitability ratios delve into a company's capacity to generate earnings based on the utilization of its resources. Prominent profitability ratios include the Gross Profit ratio, Operating ratio, Net Profit Ratio, Return on Investment (ROI) or Capital Employed, Earnings per Share (EPS), Book Value per Share, Dividend per Share, and Price/Earnings (P/E) ratio. |