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Tài Chính Tiên Ti?n 61C
on Nov 13, 2024
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Return on common stockholders' equity
A) Assess the profitability of the assets
B) Assess how effectively assets are used
C) Indicate the ability to pay current liabilities
D) Indicate how much of the company is financed by debt and equity
E) Indicate instant debt-paying ability
F) Assess the profitability of the investment by common stockholders
G) Indicate future earnings prospects
H) Indicate the extent to which earnings are being distributed to common stockholders
Return On Common Stockholders' Equity
This metric measures the profitability from the shareholders' perspective, showing how effectively a company uses equity investment to generate profits.
Profitability
A measure of the efficiency and effectiveness with which a company or business generates profit from its operations, often expressed as a percentage of revenue.
Stockholders
The owners of a corporation.
- Become proficient in the calculation and interpretation of several financial ratios.
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TS
Learning Objectives
- Become proficient in the calculation and interpretation of several financial ratios.