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The Analysis Of Profitability Indicators

Author

Listed:
  • SUCIU GHEORGHE

    (Dimitrie Cantemir Christian University Brasov, Romania)

Abstract

The analysis of profitability indicators is an activity that should preoccupy all companies. Profitability does not mean only obtaining profit. A company is competitive if the ownership equity grows (the shareholders’ money), the company has a profit that is comparable to that of other companies from the same area of activity, has a positive cash flow and the employees are satisfied with their salaries. Multiple indicators are used to measure performance: profit, commercial, economic, financial, investment rate of return, breakeven point, economic value added, net operating result.

Suggested Citation

  • Suciu Gheorghe, 2013. "The Analysis Of Profitability Indicators," Annals - Economy Series, Constantin Brancusi University, Faculty of Economics, vol. 4, pages 132-138, August.
    • Handle: RePEc:cbu:jrnlec:y:2013:v:4:p:132-138
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