Examlex
Which of the following terms describes the optimal number of units to order or produce?
Profit Margin
A ratio of profitability calculated as net income divided by revenue, showing the percentage of each dollar of revenue that results in net income.
Return on Investment
A measure used to evaluate the efficiency or profitability of an investment relative to its cost.
Profit Margin Factor
A financial ratio that indicates the percentage of revenue that exceeds the cost of goods sold, representing the efficiency of a company in generating profit from sales.
DuPont Formula
An expanded expression of return on investment (ROI) determined by multiplying the profit margin by the investment turnover.
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