Which of the Following Ratios Is Calculated by Dividing Net

question 22

Multiple Choice

Which of the following ratios is calculated by dividing net income by revenues?

• A) Return on equity ratio
• B) Net profit margin ratio
• C) Current ratio
• D) Fixed asset turnover ratio

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Definitions:

Functional-Level Strategy

A focused plan of action for individual departments or units within a company to align with the broader business goals.

Marketing Plan

A comprehensive document that outlines a company's marketing strategy, objectives, and tactics for a specific time period.

Core Purpose

The core purpose of a company is its fundamental reason for being, beyond just making money, which guides its business direction and strategy.

Vision Statement

A declaration of an organization's long-term goals and aspirations.