Which of the following financial ratios is NOT a profitability ratio?
A) net profit margin
B) gross profit margin
C) asset turnover
D) ROE
E) ROI

Question

Quizplus · Accepted Answer

Asset turnover is a measure of efficiency rather than profitability. It calculates the ability of a company to generate revenue from its assets. The other options are all profitability ratios, measuring the ability of a company to generate profit from its sales or investments.

Which of the Following Financial Ratios Is NOT a Profitability