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Foundation

Analyzing Profitability

7 minutes (1 section)
Accounting and Finance

Course Description

You’ve no doubt heard of the importance of profitability. But what do a company’s various levels of profit say about it’s performance?

Along with soundness, efficiency, growth, and overall strength, analyzing a company’s profitability is an essential part of financial analysis.

In this course, learn how to calculate important profitability ratios using information from a company’s income statement.
See how comparing the profit structure of one’s own company to others can shed light on a company’s characteristics, and how it can improve.

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