Tag Archives: profitability

Profitability ratios

In a previous post we discussed the importance and limitation of financial ratios. In this post we will consider some of the most important ratios to measure the profitability of a business. Return on ordinary shareholders funds Comparison between the … Continue reading

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Financial Ratios

Financial ratios are an effective way to measure the financial health of a business and compare performance of different organisations. Even whereas a significant difference in the scale of businesses exists, ratios, which relate financial resources one to another, eliminates … Continue reading

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