Which of the following is not considered to be a profitability ratio?
A) Profit margin
B) Times interest earned
C) Return on equity
D) Return on assets (investment)

Name: Which of the following is not considered to be a profitability ratio? A) Profit margin B) Times interest earned C) Return on equity D) Return on assets (investment)
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Question

Quizplus · Accepted Answer

Times interest earned is a solvency ratio, not a profitability ratio. It measures a company's ability to meet its debt obligations.

Which of the Following Is Not Considered to Be a Profitability