Monday, November 7, 2011

Analysis for Financial Management (R. Higgins) Chapter 2 Summary

  1. Chapter 2:  Evaluating Financial Performance
  2. ROE= net income/shareholder's equity.  Three determinants:
    1. Net Income/Sales  *  Sales/Assets  *  Assets/Shareholders' equity.  Same as below:
    2. Profit Margin  *  Asset turnover  *  Financial Leverage
Posted by E.B. Holmes at 3:10 PM
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