ABC Corporation has just completed its financial statements for the year ended December 31, 2022. The income statement shows a net income of $500,000 and the balance sheet indicates total assets of $2,000,000 and total liabilities of $1,000,000. Calculate the following ratios and provide a brief interpretation of each:
a) Return on Assets (ROA)
b) Debt to Equity Ratio

Answer rating: 100% (QA)

The detailed answer for the above question is provided below a Return on Assets ROA The Return on As... View the full answer