Question: Hi, I would like to know the proper formulas for finding the following profitability ratios listed below: Profitability Ratios 2020 2019 2018 Net Profit Margin

Hi, I would like to know the proper formulas for finding the following profitability ratios listed below:

Profitability Ratios 2020 2019 2018
Net Profit Margin Ratio
Total Asset Turnover
Return on Assets
Operating Income Margin
Sales to Fixed Assets
ROE
Return on Common Equity
Gross Profit Margin

What are the formulas? Do I have to use both the income statement and balance sheet or just one? Where would the information be listed? Thanks in advance!

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!