COMMONLY USED FINANCIAL RATIO:
PROFITABILITY RATIO
Gross Profit to Sales : Gross Profit/ Net Sales Revenue
Net Profit to Sales : Net profit/ Net Sales Revenue
Operating Profit Margin : Operating Profit/ Sales
Return on Equity : Net Income/ Stockholders' Equity
Return on Assets : Net Income/ Total Assets
Return on Net Assets : Net Income/ Net Assets
Total Assets Turnover : Turnover/Total Assets
Rate earned on Stockholders' Equity : Net Profit (after tax)/ Average Shareholder's Equity
Net Profit Margin : Net Profit (after tax)/Turnover
PROFITABILITY RATIO
Gross Profit to Sales : Gross Profit/ Net Sales Revenue
Net Profit to Sales : Net profit/ Net Sales Revenue
Operating Profit Margin : Operating Profit/ Sales
Return on Equity : Net Income/ Stockholders' Equity
Return on Assets : Net Income/ Total Assets
Return on Net Assets : Net Income/ Net Assets
Total Assets Turnover : Turnover/Total Assets
Rate earned on Stockholders' Equity : Net Profit (after tax)/ Average Shareholder's Equity
Net Profit Margin : Net Profit (after tax)/Turnover
