FAR 1F - Financial Ratios - Profitability Flashcards
1
Q
Gross Profit Margin %
A
GP / Sales
OR
(Sales - COGS) / Sales
2
Q
Operating Profit Margin %
A
Operating Profit / Sales
OR
(GP - Operating Expenses) / Sales
3
Q
Net Profit Margin %
A
Net Income / Sales
OR
(Operating Income - Interest - Taxes) / Sales
4
Q
Operating Profit Margin %
A
EBITDA / Sales
OR
(Operating Income + D+A) / Sales
5
Q
Return on Assets (ROA)
A
Net income / Average Total Assets
6
Q
Return on Equity (ROE)
A
Net income / Average Equity
