... the Bass groups performance showing the relationship between the net profit generated and the long term capital invested in the company. The second ratio we consulted for our assessment of the profitability of Bass is the net profit margin which was 11.7% in 1996 but has decreased to 7.0% in 1997. This shows that Bass are trying to operate on low profit margins in order to stimulate sales and thereby increase the total amount of profit generated. Thirdly we have calculated the percentage return on turnover which for 1996 was 8.9% compared to 5.0% in 1997. Efficiency we have decided to examine as we felt this would show us the ways in which various resources of the company are managed. Firstly we calculated the average settlement period for debtors. In 1996 this figure worked out to be thirty days and likewise in 1997 this figure turned out the same. Therefore ...

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