The method of calculating return on assets which highlights the importance of sales, profit margin, and asset turnover are known as DuPont analysis.
DuPont analysis is a method of financial analysis that is used to help evaluate the financial performance of a company. It involves breaking down a company's return on equity (ROE) into three components: profit margin, asset turnover, and financial leverage.
The idea behind DuPont analysis is to provide a more detailed look at a company's financial performance by breaking it down into its component parts. The DuPont analysis allows investors to assess the different elements that are contributing to a company's ROE, enabling them to make more informed investment decisions. It also provides insights into which areas a company should focus on in order to improve its financial performance.
To learn more about DuPont analysis visit here: -
brainly.com/question/15322251
#SPJ4
