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Bue on Sep 5 at 11:59 PM EDT Return on common equity Basic earning power | | 4.80% 7.89% I Decision makers and analysts look
Bue on Sep 5 at 11:59 PM EDT Return on common equity Basic earning power | | 4.80% 7.89% I Decision makers and analysts look deeply into profitability ratios to identify trends in a company's profitability. Profitability ratios give insights into both the survivability of a company and the benefits that shareholders receive. Identify which of the following statements are true about profitability ratios. Check all that apply. If a company has a profit margin of 10%, it means that the company earned a net income of $0.10 for each dollar of sales. An increase in the return on assets ratio implies an increase in the assets a firm owns. If a company's operating margin increases but its profit margin decreases, it could mean that the com pany paid more in interest or taxes If a company issues new common shares but its net income does not increase, return on common equity will increase Grade tNow Coz 31
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