Examlex
Leverage is ________.
EBIT
The financial performance metric, Earnings Before Interest and Taxes, deducts all expenses from a firm's income except for interest and tax expenses.
Return On Equity
A measure of a corporation's profitability, calculated as net income divided by shareholder's equity, indicating how effectively management is using a company’s assets to create profits.
Total Equity
The total of all stockholder's equity (both preferred and common stock) plus retained earnings within a company.
Average Collection Period
A financial metric indicating the average number of days it takes for a firm to receive payments owed by its customers.
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