The top managers of Pages and Pages Bookstores want to indicate to the firm's shareholders how effectively they have managed the company. Perhaps the most meaningful way to do this would be by reporting strong
A) liquidity ratios.
B) leverage ratios.
C) activity ratios.
D) profitability ratios.

Question

Quizplus · Accepted Answer

Profitability ratios measure how effectively managers are using the firm's resources to generate profits for the firm's owners.

The Top Managers of Pages and Pages Bookstores Want to Indicate