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-the American system
Receivables Turnover
A measure of how efficiently a company collects on its credit sales, calculated as sales divided by average accounts receivable.
Return On Equity
A measure of a company's profitability, calculated by dividing net income by shareholder equity.
Du Pont Identity Method
The Du Pont Identity Method is a financial analysis framework that breaks down a company's return on equity into three parts: profitability, asset efficiency, and financial leverage.
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