Fun Day

Is the earning performance of the business and indicates its capacity to use its resources to maximise profits.

Measures profitability before expenses.

Measures profitability after all expenses have been paid.

Calculates for every dollar in sales how much the business makes profit.

Return on investment by owners.

How profitable the business is compared to the assets they own.

The higher the ratio the better is.

Indicates if the assets the business owns, are generating revenue for the business.

The profit earned on each share

The number of times the market price per share covers profit per share

The dividend received per share expressed as a percentage return on the market price per share.