ANALYSIS OF THE COMPANY'S PROFITABILITY WITH THE HELP OF ROTATION AND PROFITABILITY RATES

Abstract

To the extent that the structure and synthesis rates of the balance sheet relate to the situation of the posts at a given time, they are of a static nature. However, short-term financial management requires additional information to assess the financial balance and liquidity of the dynamic enterprise, which requires the determination of turnover rates of profits in the balance sheet. The life of the enterprise is a continuous chain of operations (purchases, sales, payments, etc.) that influences the income statement. Each of these operations generates a financial surplus, a surplus that will be reinvested in other operations to obtain a surplus of final profitability, the net result.

Keywords

• performance
• decisions
• profitability
• tax