Additionally, profitability ratios do not account for external factors such as economic conditions or industry-specific challenges that may impact a company’s performance. Types of Profitability ...
Investors analyze these financial ratios to determine the long-term security, short-term efficiency, and overall profitability of a retail company. Financial ratios can also reveal how ...
These ratios generally fall within one of four types of measurements: profitability, liquidity, solvency, and valuation. Understanding and applying ratios from all of these categories can enable ...