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Profitability ratios help in the analysis of the combined impact of liquidity ratios, asset management ratios, and debt management ratios on the operating performance of

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Profitability ratios help in the analysis of the combined impact of liquidity ratios, asset management ratios, and debt management ratios on the operating performance of a firm. Your boss has asked you to calculate the profitability ratios of Triptych Food Corp. and make comments on its second-year performance as compared to its first-year performance. The following shows Triptych Food Corp.'s income statement for the last two years. The company had assets of $10, 575 million in the first year and $16, 916 million in the second year. Common equity was equal to $5, 625 million in the first year, 100% of earnings were paid out as dividends in the first year, and the firm did not issue new stock in the second year

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