Profitability Flashcards
1
Q
Return on Assets (ROA)
A
(Profit Before Interest and Tax/Average Total Assets) *100
2
Q
Return on Equity (ROE)
A
Profit After Interest and Tax/Average Equity) x 100
3
Q
Gross Profit Ratio
A
Gross Profit/Sales Revenue x 100
4
Q
Profit Margin Ratio
A
Net Profit/Sales Revenue x 100
5
Q
Cash Flow to Sales Ratio
A
Cash Flow from Operating Activities/Sales Revenue x 100
6
Q
Asset Turnover Ratio
A
Sales Revenue/Average Total Assets
7
Q
DuPont ROA
A
(Net Profit/Sales Revenue) x (Sales Revenue/Average Total Assets)
