What does ROE depend on according to the DuPont raito?     Profit Margin     Asset Turnover     Equity Multiplier     All of the above

Q: What does inventories /sales ratio mean?

A: An accounting metric used to measure liquidity, solvency, efficiency etc. of a business entity is…

Q: The return on assets ratio is a: Group of answer choices A)Liquidity ratio. b)Solvency ratio.…

A: Return of assets calculates the amount of profit generated on the amount of assets invested.

Q: Profitability ratios Profit margin Return on assets Return on equity Market value ratios -…

A: Current Ratio / Quick Ratio / Operating Cash Flow Ratio Current Ratio - Current Asset / Current…

Q: Which option is an efficiency ratio? Select an answer: total asset turnover ratio

A: Ratio analysis is one of the technique used in management accounting. Several type of calculations…

Q: Before you look at the profit which is the last number on the income statement which number would be…

A: An income statement, also known as a profit and loss statement or P&L statement, is a financial…

Q: Inventory Turnover

A: As per the guidelines, only three subparts are allowed to be answered. Please resubmit the remaining…

Q: The three input ratios (not output) to the DuPont model of financial statement analysis are: a) Net…

A: Du-point Analysis is the method of measuring the performance of the company. It measures the return…

Q: How to calculate total selling expense

A: Selling expenses are the expenses incurred to sell a product to the customer.

Q: Current assets minus current llabilities Is: Multiple Cholce Working capital. Financial leverage.…

A: Current assets means cash and cash equivalent and other assets which are realisable with in normal…

Q: Suppose Fine Chocolates Co. estimates bad debt under the aging method. Before adjusting entries at…

A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: 1) Quick ratio 2) Inventory turnover 3) Total debt to total capital ratio 4) ROE 5) Price to earning…

A: We use financial ratios to determine and assess the financial health and financial position of a…

Q: Which of the following ratios is most useful in evaluating solvency? Multiple Choice Current ratio…

A: The ratio measures the company's financial performance and progress over time. It is the quantity…

Q: The return on assets ratio is a: OLiquidity ratio. O Solvency ratio. O Profitability ratio.

A: · Ratio analysis used to identify the business performance of the company.· It is used to measure…

Q: Payback Period Modified Payback Period Net Present Value Profitability Index Accounting Rate of…

A: Here, we have to find these financial topics.

Q: compute the gross profit percentage

A: Gross profit: It implies to the excess of company's net sales over the cost incurred on goods sold…

Q: When is the Book Value per Share used?

A: Book Value Per Share:   Book Value per share is a simple calculation of total shareholders’ equity,…

Q: In the DuPont formula, return on assets equals: Multiple Choice Profit margin on sales x Inventory…

A: Return on assets is a method used to evaluate the profitability of the company. It also measures…

Q: The following ratios are indicators of liquidity ,except_______   Group of answer choices current…

A: Liquidity of firm is meausred by ablity to satisfy its short term obligations as they come due.

Q: The receivales turnover ratio is used to analyze profitability. liquidity. risk a. b. С. nventors d.…

A: Receivable Turnover Ratio = Net Credit Sales / Average Receivable

Q: How do you find the maximum profit and loss percentage using these graphs? Long put Payoff Kluss st…

A: A put option is a financial instrument in which the holder is granted the ability, but not the…

Q: Provie The Correct Answer with calculation

A: 1. Contribution Margin Ratio:   The contribution margin ratio is a measure of the profitability of a…

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.