Net profit is used to measure the return on the business's total assets.

Name: Net profit is used to measure the return on the business's total assets.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Net profit is used to measure how much money the business has made after subtracting all expenses, including taxes and interest payments. It is a measure of profitability, not return on assets. Return on assets is calculated by dividing net income by total assets.

Net Profit Is Used to Measure the Return on the Business's