Financial Ratios
A Ratio refers to a figure calculated as a reference to the relationship of two or more numbers and can be expressed as a fraction, proportion, percentage, or the number of times. When the number is determined by taking two accounting numbers derived from the financial statements, it is termed as the accounting ratio.
Return on Equity
The Return on Equity (RoE) is a measure of the profitability of a business concerning the funds by its stockholders/shareholders. ROE is a metric used generally to determine how well the company utilizes its funds provided by the equity shareholders.
A short position applies to
a.margin.
b.stock purchases.
c.dividend yield.
d.None of the above.
In Finance
A short position is a position which is used by a trader to sell those shares which is not held by him. using a minimum margin your brokers allow you to sell any shares which is not owned by you. This can be said that broker loan you a certain number of shares which you can sold now at current price and you expect that price of this shares will fall in future. You will get instant money when you sold the shares and if in near future the price of that shares fall you can buy the same shares at reduced price and return back the number of shares to your broker. The difference between the selling price and buying price the profit of the individual.
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