To determine the profitability of banks, simply looking at the earnings per share isn't quite enough. It's also important to know how efficiently a bank is using its assets and equity to generate ...

Businesses often use profitability ratios to gauge their performance against industry benchmarks or competitors. Calculating these ratios involves a straightforward process, typically using figures ...

To run a company successfully, you need to know everything about your business, including its financials. One of the most critical financial metrics to grasp is the contribution margin, which can help ...

If you seek regular income, you know that dividends are a must-have. Likewise, dividend growth rates are a key indicator of whether a company is financially healthy enough to keep paying them. You can ...

Options traders employ several trading strategies, but they all have the same objective: to make a profit. It’s possible to make money with options trading, and knowing how to calculate profitability ...

To calculate a price-weighted average, sum the stock prices and divide by the number of stocks. This average reflects changes in higher-priced stocks more than lower-priced ones. Use price-weighted ...

The world of microeconomics and business decision-making hinges upon a key concept: marginal cost. In the simplest terms, marginal cost represents the expense incurred to produce an additional unit of ...