Profitability Ratios Flashcards

Description

Ratios and Formulas required for AAT4 - Financial Statements Profitability category
Liz Barraclough
Flashcards by Liz Barraclough, updated more than 1 year ago
Liz Barraclough
Created by Liz Barraclough over 9 years ago
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Resource summary

Question Answer
Return on Capital Employed (percentage) Profit from Operations/ Total equity + non-current liabilities x100
Return on Shareholders funds (percentage) Profit after tax/ Total Equity x 100
Gross Profit Percentage Gross Profit/ Revenue x 100
Expense/Revenue Percentage Specified expense/ Revenue x 100
Operating Profit Percentage Profit from operations/ Revenue x 100
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