OPERATING PROFIT TO SALES Definition

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OPERATING PROFIT TO SALES is a useful ratio when evaluating value of a firm. It discounts the effect of varying tax rates and benefits to give a more accurate indication of the return associated with the firm. Operating Profit (EBITDA) / Net Revenues.

Learn new Accounting Terms

AROE is Adjusted Return on Equity.

ACCOUNTS RECEIVABLE is a current asset representing money due for services performed or merchandise sold on credit.

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