The net profit margin calculates how much earnings a company produces as a percentage of its revenue. Read more on how to calculate the net profit margin, its formula, and more.
Gross profit is a measure of a company’s earnings after it accounts for the cost of production. Read on to learn more about the gross profit, gross profit margin and more!
A benchmark is a standard by which an asset or fund’s performance is evaluated. Read on to learn more about benchmarks and their importance in investing.
Alpha is a measure of the excess return security generates in comparison to its benchmark index. Read on to know more.
The debt-to-equity (D/E) ratio is a measure of a company’s financial leverage. Read on to learn more.
The asset turnover ratio can gauge how effectively a business employs its assets to produce revenue. Read on to know more.
Companies constantly borrow funds to meet their business requirements. Many metrics and financial ratios can help determine how a company repays them. One of the most popular ratios to assess a company’s ability to repay liabilities is the quick ratio.
Return on Assets (ROA) is a financial ratio that measures a company’s profitability against its total assets. It is used by corporate management, analysts, and investors to assess how effectively a company uses its resources and assets to generate profit.
A loan is one of the most used terms in finance. However, many people are still unaware of the types of loans that exist and how to apply for them. Before we get into the different types of loans, let’s understand what a loan is.