Question: Profits might be compared with assets, sales, and stockholders equity. Why might all three bases be used? Will trends in these ratios always move in

Profits might be compared with assets, sales, and stockholders’ equity. Why might all three bases be used? Will trends in these ratios always move in the same direction? Why?
Compute the ratios for an actual company. Did the ratios move in the same direction from one year to the next?

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