When performing financial ratios, what is the benefit or disadvantage of comparing ratios with and without goodwill?
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When performing financial ratios, what is the benefit or disadvantage of comparing ratios with and without goodwill? For example, if I compute the return on assets ratio and compare it to the ROA but excluding goodwill?
Related Book For
Financial Accounting Tools for Business Decision Making
ISBN: 978-1119368458
7th Canadian edition
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso, Barbara Trenholm, Wayne Irvine
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