The appropriate tax rate to use in the return on assets formula is a company's average tax rate.

Name: The appropriate tax rate to use in the return on assets formula is a company's average tax rate.
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The appropriate tax rate to use in the return on assets (ROA) formula is not a specific tax rate; the ROA formula typically does not directly incorporate tax rates. ROA is calculated by dividing net income by total assets, focusing on a company's efficiency in using its assets to generate earnings.

The Appropriate Tax Rate to Use in the Return on Assets