Return on total assets is the product of

A) interest rates and pre-tax profits.
B) the debt-equity ratio and P/E ratio.
C) the after-tax profit margin and the asset turnover ratio.
D) sales and fixed assets.
E) None of the options are correct.

After-Tax Profit Margin

A profitability ratio calculated by dividing net income after taxes by net sales, showing what percentage of sales translates into profits after all expenses.

Asset Turnover Ratio

A financial metric that measures the efficiency of a company in using its assets to generate revenue, calculated by dividing total revenue by average assets.

Total Assets

The sum of all current and non-current assets owned by an entity, reflecting its overall value and financial strength.