A Study of Pat and Pbt Analysis of Selected

Mostly every firm is most concerned with its profitability. One of the most frequently used tools of financial ratio analysis is PAT and PBT to total income ratios which are used to conclude the company's bottom line and its return to its investors. Profitabil-ity measures are important to company promoters and owners similarly. If a small business has outside investors who have put their own money into the company, the promoters certainly have to prove profitability to those investors. Profitability ratios are considered to appraise the firm's ability to generate profits. Analysis of profit is of vital concern to inves-tors because they get revenue in the form of dividends. Profits are also vital to creditors because profit is one resource of funds for liability. Furthermore Management uses profit as a perfor-mance review. Profile of Selected companies for the stud