Which one of the following ratios does not involve assets?
A) Account receivable turnover
B) Current ratio
C) Profit margin
D) Inventory turnover

Name: Which one of the following ratios does not involve assets? A) Account receivable turnover B) Current ratio C) Profit margin D) Inventory turnover
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Question

Quizplus · Accepted Answer

Profit margin is a profitability ratio that measures net income earned relative to sales, and does not directly involve assets in its calculation. It is calculated by dividing net income by net sales.

Which One of the Following Ratios Does Not Involve Assets