Which of the Following Ratios Is Widely Used as an Indication

question 90

Multiple Choice

Which of the following ratios is widely used as an indication of management efficiency and measures the percentage of each sales dollar that remains as profit after all expenses have been paid.

• A) Times interest earned
• B) Net profit margin
• C) Return on assets
• D) Return on equity

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Definitions:

Sources

Refers to the origins or places from which something is obtained, often used in the context of gathering information or materials.

Emissions Tax

A tax imposed on the emission of pollutants, aimed at reducing environmental harm by incentivizing companies to lower their pollution levels.

Marginal Benefit

The further enjoyment or utility obtained when one more unit of a product or service is consumed.

Pollution

The existence or entry of a harmful or toxic material or object into the environment.