📈 What is Return on Assets (ROA)?
Ahoy there, financial adventurers! Welcome to the magical mystery tour of Return on Assets (ROA), our accounting Batman! ROA is an accounting ratio expressing the amount of profit for an accounting period as a percentage of the assets of a company. Think of it as the Sherlock Holmes of accounting ratios, solving the mystery of how well a company is using its assets to generate profit.
Why Should You Care? 🤔
Imagine having a car (we’ll call it