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OPERATING PROFIT MARGIN

Discuss OPERATING PROFIT MARGIN within the Financial Management forums, part of the PUBLISH / UPLOAD PROJECT OR DOWNLOAD REFERENCE PROJECT category; Significance: 1. The ratio is to ascertain the efficiency of the management as regard to operations. 2. Operating profit ratio ...

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OPERATING PROFIT MARGIN
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Abhijeet S
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OPERATING PROFIT MARGIN - October 5th, 2010

Significance:

1. The ratio is to ascertain the efficiency of the management as regard to operations.


2. Operating profit ratio when compared over a period of time indicates the changes in the efficiency of the business.


3. It is useful in internal analysis for detecting the areas which are responsible for lower profit or general efficiency.
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