A sample lecture on LCCI Level 2 Bookkeeping and Accounting on the topic of (Profitability Ratios) conducted by Subject Specialist, Mr Ng Kian Tuck. Wish to find out more about LCCI Qualification? Contact us.
This video delves into profitability ratios as a tool for assessing a business’s financial performance. It explores the relationship between sales and cost of sales, emphasizing the necessity to generate sufficient cross profit to cover fixed costs. It clarifies the distinction between profit margin and profit markup, and investigates net profit margin and ROCE as financial performance indicators. The importance of flexibility in evaluating financial performance is underscored.
