Can anyone explain conceptually what is this Du-Point analysis in Ratio's chapter of PCC.....!?
Can anyone explain conceptually what is this Du-Point analysis in Ratio's chapter of PCC.....!?
DU PONT ANALYSIS:
The system of analysis brings together the net profit margin and total assets turnover ratio and shows how these ratios interact to determine profitability of assets.
Symbolically it is expressed as follows:
Return on investment (ROI) or Return on Total assets (ROTA)=
Net profit / Sales * Sales / Total assets
HOPE U R CLEAR NOW
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