All of the Following Ratios Are Considered Measures of Profitability

question 66

Multiple Choice

All of the following ratios are considered measures of profitability except:

• A)Earnings per share.
• B)Gross profit rate.
• C)Price-earnings ratio.
• D)Return on assets.

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Definitions:

Baby Boom Generation

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Stock Market

A collection of markets where stocks (pieces of ownership in businesses) are bought, sold, and traded.

Payroll Tax

Taxes imposed on employers and employees, typically based on the salaries and wages paid to workers, used to fund social security and other public services.

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The amount paid periodically to an insurance company by a policyholder for coverage.