Question

What are profitability ratios in accounting?

Answer 1

amA profitability ratio is a measure of profitability,which is a way to measure a companys performance .PROFITABILITY is a simple the capacity to make a profit and a profit is what is left over from income earned after you have deducted all costs and expenses related to earning the income.

Answer 2

Answer(◍•ᴗ•◍)

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.

All the best :)