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      Question

      Which of the following ratios are basically the measures

      of yield or return. 
      A Liquidity Correct Answer Incorrect Answer
      B Activity Correct Answer Incorrect Answer
      C Debt Correct Answer Incorrect Answer
      D Profitability Correct Answer Incorrect Answer
      E None of the above Correct Answer Incorrect Answer

      Solution

      Profitability ratios are used to measure the various aspects of profitability of a company, such as what is the rate of profit on revenue from operations and whether the profits are decreasing or increasing and if declining, the cause of such decline.

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