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Profitability ratios - short answer questions


Question 1

Outline the factors that should be taken into consideration when examining a firm's ROCE.

Question 2

Explain the primary efficiency ratio for a firm.

Question 3

Explain the differences between profit and profitability.

Question 4

Discuss how a short term or a long term approach to business influences the level of ROCE that will be considered acceptable by a firm and its stakeholders.