In: Finance
Which of the following ratios represent net profit from both operations and non-operations (including investment and financing) of pharmaceutical company JKL?
Group of answer choices
EBIT
Return on net assets
Asset efficiency
DEBIT
Excess margin
The correct answer is Return on assets
The return on assets is calculated by dividing net income from net assets, The net profit includes both the operations and non operational profits. Therefore, Return on assets will represent the Net earnings that the company is going to generate over a period of time.