Profitability Flashcards
Net Profit Margin
(Net Income before Minority Share of Earnings and Nonrecurring Items)/Net Sales
Total Asset Turnover
Net Sales/Average Total Assets
Return on Assets
(Net Income before Minority Share of Earnings and Nonrecurring Items)/Average Total Assets
DuPont Return on Assets
(Net Profit Margin) X (Total Asst Turnover)
Operating Income Margin
Operating Income/Net Sales
Operating Asset Turnover
Net Sales/Average Operating Assets
Return on Operating Assets
Operating Income/Average Operating Assets
DuPont Return on Operating Assets
(Operating Income Margin) X (Operating Asset Turnover)
Sales to Fixed Assets
Net Sales/Average Net Fixed Assets
Return on Investment
(Net Income before Minority Share of Earnings and Nonrecurring Items + [(Interest Expense) X (1 - Tax Rate)]) / Average (Long-Term Liabilities + Equity)
Return on Total Equity
(Net Income before Nonrecurring Items - Dividends on Redeemable Preferred Stock)/Average Total Equity
Return on Common Equity
(Net Income before Nonrecurring Items - Preferred Dividends)/Average Common Equity
Gross Profit Margin
Gross Profit/Net Sales
Operating Cash Flow Per Share
(Operating Cash Flow - Preferred Dividends)/Common Shares Outstanding
