ROA is a profitability ratio that measures a company’s use of assets in generating profits. Return on assets is a profitability ratio that’s helpful in determining a company’s ability to ...

Return on equity (ROE) and return on assets (ROA) are two financial ratios that measure ... Net income is on the income statement. Let's calculate ROE for the fictional company Ed's Carpets.

Net earnings can be pulled directly from the earnings statement on the ... better picture of the company's financial health than the similar metric return on assets (ROA), which would reflect ...

Each of these financial statements also consists of multiple smaller components, including a company’s assets, earnings per share, and cash inflows/outflows, that can provide further insight ...