Question: Why is the operating return on asset ratio also referred to as the operating return on investment

Why is the operating return on asset ratio also referred to as the operating return on investment

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

Q:

Lucia and Olga have decided to buy some commercial real estate through a corporation. The corporation will buy commercial properties, earn money from rent paid by tenants to cover the operating...

Q:

Question 1 37 nxed assets) has ins ndicate? LU pany has $181,000 in total liabilities and $225,000 in tor what percentage of total assets is being financed with the use of orhboects, ple's money? of...

Q:

Why is the operating return on assets ratio also referred to as the operating return on investment?

Q:

Using attached Annexure-I of an audited Balance Sheet and Income Statement of Al-Maha Ceramics SAOG, calculate following financial components: Operating cost for financial year 2017 and 2018 Interest...

Q:

ACC 500 TERM PAPER Requirements: Select a company and get a copy of its annual report Analyze its financial reports You should do ratio analysis on the ratios listed below and describe whether the...

Q:

can any one work on this? Need help asap with the attached document below. Use the information in the table below for problems 33 to 41. The financial information presented below for ABC Healthcare...

Q:

Return on Assets: Trend Analysis : FedExs return on asset ratio has increased from 1.75% to reach 4.45% from the years 2019 to 2021. This increase can be seen due to an increase in sales as seen in...

Q:

H.J. Boswell, Inc., Income Statement(millions, except per share data) for the Year Ended December 31, 2016 Sales $2,700.00 Cost of goods sold (2,025.00) Gross profit $ 675.00 Operating expenses:...

Q:

Using Worksheets to Create Adjusting Entries and Financial Statements Part 1: Barnes Wallis Enterprises A Senior Manager at Barnes Wallis Enterprises has just emailed you the following Trial Balance:...

Q:

Peer Group Current ratio Acid-Test (or Quick) Ratio Average collection period Account receivable turnover Inventory turnover Debt ratio Times interest earned Total asset turnover Fixed asset turnover...

Q:

Please help me comment and ask questions about this person's Enron response. I particularly enjoyed reading this case, it was interesting to learn about the loopholes in accounting used by Enron to...

Q:

"Your business in Melbourne is doing very well, and you are now in the position to expand and set up another outlet in either Sydney or Brisbane. Current earning is $120 per year and current overhead...

Q:

A company has the opportunity to purchase a new high-tech metal cutter which will save the company $14,000 each year in labour costs. This metal cutter cost $70,000. At the end of the useful life of...

Q:

Provide Currect answer Variable costing includes what? (a) All production costs (b) Only variable manufacturing costs (c) Only fixed costs (d) Only period costs

Q:

What is the impact of inventory management practices on service levels?