Which of the Following Is Not Considered to Be a Profitability

question 21

Multiple Choice

Which of the following is not considered to be a profitability ratio?

• A) Profit margin
• B) Times interest earned
• C) Return on equity
• D) Return on assets (investment)

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Definitions:

Consolidated Income Statement

A financial statement that shows the combined income of a parent company and its subsidiaries, presenting the financial performance of the entire group.

Open Market

An economic system with no or minimal barriers to trade, where prices are determined by supply and demand forces without significant regulation.

Variable Interests

Interests in an entity that change with fluctuations in the entity's net asset value, income, or cash flows.