🎴 Flashcard Mode
Financial Analysis
Card1 / 15
Mastered0
Review0
QuestionClick to flip
Which of the following ratios measures a company's profitability in relation to its sales revenue?
AnswerClick to flip back
A
Return on Sales
💡 Explanation:
Return on Sales (ROS) is calculated by dividing net income by sales revenue and expresses the percentage of each sales dollar that results in net income.