# Basic Earning Power Ratio

Posted by Professor Cram in Ratios of Profitability

## Basic Earning Power Ratio

The basic earning power ratio (or BEP ratio) compares earnings apart from the influence of taxes or financial leverage, to the assets of the company. This interactive tutorial explains the concept by walking you through the calculations, including where to find the numbers on the financial statements.

## Get More Help!

Click one of these links to **get more help** from another Cramlet in this same chapter:

## Comments