Difference between revisions of "Return on common stockholders' equity ratio"
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| − | [[Return on common stockholders' equity ratio]] is a profitability ratio that indicates how well a company is managing debt financing to earn a profit for holders of common stock. | + | [[Return on common stockholders' equity ratio]] (alternatively known as [[rate of return on common stockholders' equity]]) is a profitability ratio that indicates how well a company is managing debt financing to earn a profit for holders of common stock. |
Revision as of 04:36, 21 December 2018
Return on common stockholders' equity ratio (alternatively known as rate of return on common stockholders' equity) is a profitability ratio that indicates how well a company is managing debt financing to earn a profit for holders of common stock.
Definitions
According to College Accounting: A Practical Approach by Slater (13th edition),
- Return on common stockholders' equity ratio. A profitability ratio that indicates how well a company is managing debt financing to earn a profit for holders of common stock.
Related concepts
- Accounting (alternatively known as accountancy) is management of financial data, information, and knowledge about financial transactions of legal entities. Accountancy tends to include bookkeeping and, depending on a particilar enterprise, may also include quatitative analysis of financial data in the bookkeeping system and/or business intelligence.
