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miskamm [114]
1 year ago
5

Profitability measures such as return on assets (roa) and return on equity (roe) are ___ rates of return.

Business
1 answer:
eimsori [14]1 year ago
4 0

Profitability measures such as return on assets (roa) and return on equity (roe) are accounting rates of return.

<h3>What is the ROA and ROE?</h3>

Profitability ratios measure the ability of a firm to generate profits from its asset. Examples of profitability ratio are return on equity, return on assets, gross profit margin, return on invested capital  and return on capital employed.

Return on equity calculates the efficiency with which a firm generates returns to its shareholders. The higher the return on equity is, the more efficient it is for the firm to generate income for its shareholders. Return on equity is the ratio of net income to total equity.

Return on equity = net income / average total equity

The return on asset is used to determine how much profit a firm can generate from its assets. Return on asset is net income divided by total assets. It is an example of a profitability ratio. The higher the return on assets, the more efficient it is in generating income from its assets.

Return on total assets = Net income / average total assets

To learn more about return on total assets, please check: brainly.com/question/26513286

#SPJ1

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Carson company on july 15 sells merchandise on account to tayler co. for $2,000, terms 2/10, n/30. on july 20 tayler co. returns
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The amount of cash received will be the net of discounts and sales returns.

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5 0
3 years ago
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asambeis [7]

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4 0
3 years ago
FitterYou Inc., a company that manufactures health products, hosts an event at a local hotel to generate potential customers. Th
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By inviting over 120 prospects to the event through direct mails, then the company that manufactures the health products is using a <u>seminar</u> to  generate sales leads.

<h3 />

What is a sales seminar?

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In conclusion, the company that manufactures the health products is using a <u>seminar</u> to  generate sales leads.

Read more about sales seminar

<em>brainly.com/question/23714927</em>

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