Which of the following statements is not true? a) The return on shareholders’ funds can be calculated as profit after tax / total equity x 100 b) The dividend cover ratio can be calculated from the Income statement and the statement of cash flows and the answer will be the same c) The interest cover ratio can be calculated from the income statement and the statement of cash flows and the answer will be different d) The operating profit margin is also called the net profit margin

Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter12: Fainancial Statement Analysis
Section: Chapter Questions
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Q . Which of the following statements is not true?
a) The return on shareholders’ funds can be calculated as profit after tax /
total equity x 100
b) The dividend cover ratio can be calculated from the Income statement and
the statement of cash flows and the answer will be the same
c) The interest cover ratio can be calculated from the income statement and
the statement of cash flows and the answer will be different
d) The operating profit margin is also called the net profit margin

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