answersLogoWhite

0

Yes, companies with more profit margin are good at managing their cost. The variable cost associated with the product is low, which allows them to see more profit.

User Avatar

Wiki User

11y ago

What else can I help you with?

Related Questions

Is a negative PE ratio considered good for a company?

A negative PE ratio is generally not considered good for a company because it indicates that the company is not currently profitable.


Is Yahoo stock a good investment?

Yahoo is a profitable internet company, but there are strong competitors in Google and Microsoft. If they can maintain their strong usership, it will continue to be a good investment.


Is Tesco a profitable or non profitable company?

They are profitable.


What does the abbreviation ROA stand for?

ROA means return on assets, a measure of how profitable a company is using the assets that it has. A higher ROA indicates that the company is adept at generating revenue using its funds, while a low ROA indicates that the company is not good at using its revenue to create more revenue.


How profitable is coca cola company?

Its very profitable


Who are competitors of tide detergent company?

competitors tide


Is profitable company always successful in a business?

Profitable means that the business is successful, therefore yes, a profitable company is always successful in a business


How is a stock price calculated at end of market day?

The most important factor for calculated stock price is earning per share, which indicates how profitable a company is.


A profitable company is not necessarily a solvent company?

A profitable company is not necessarily a solvent company. Being solvent means that company is able to cover its liabilities and this does not translate to profitability.


Profit margin ratio?

Profit margin is a ratio of probability calculated as net income divided by revenues, or net profits divided by sales. It measures how much out of every ringgit of sales a company actually keeps in earnings. Profit margin is very useful when comparing companies in similar industries. A higher profit margin indicates a more profitable company that has better control over its cost compare to its competitors.


What are direct competitors?

Direct competitors are competitors that affect a company directly. For example, Walmart's direct competitors would be Target and Meijer.


Who is the most profitable company?

RIL is the most profitable compnay in india 2011...