Accountancy, asked by shrikanthmusam, 3 months ago

profitability ratio helps to understand ?​

Answers

Answered by anmols8100
1

Answer:

this ratio is used to evaluate company's ability to generate income as compared to it's expanses and other cost associated with the generation of income during a particular period. this ratio results the final results of the company.

Explanation:

this ratio is useful when they are analyzed in comparison to similar companies or compared to previous periods.

Answered by amangarnayak04
1

Answer:

Profitability ratio is used to evaluate the company's ability to generate income as compared to its expenses and other cost associated with the generation of income during a particular period. This ratio represents the final result of the company.

Explanation:

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