The following information is provided for two companies in the same industry:
Required:
1.Calculate the return on assets (ROA)for both companies.Show supporting calculations.Show your answer as a percentage with one decimal place.(For example,0.50000 = 50.0%). 2.Calculate the asset turnover for both companies.Show supporting calculations.Round your answer to two decimal places.(For example,0.98765 = 0.99) 3.Based on your calculations above,which company appears to be a better performer?

Question

The following information is provided for two companies in the same industry:
  Required:
1.Calculate the return on assets (ROA)for both companies.Show supporting calculations.Show your answer as a percentage with one decimal place.(For example,0.50000 = 50.0%). 2.Calculate the asset turnover for both companies.Show supporting calculations.Round your answer to two decimal places.(For example,0.98765 = 0.99) 3.Based on your calculations above,which company appears to be a better performer?

Quizplus · Accepted Answer

The Answer of The following information is provided for two companies in the same industry:
  Required:
1.Calculate the return on assets (ROA)for both companies.Show supporting calculations.Show your answer as a percentage with one decimal place.(For example,0.50000 = 50.0%). 2.Calculate the asset turnover for both companies.Show supporting calculations.Round your answer to two decimal places.(For example,0.98765 = 0.99) 3.Based on your calculations above,which company appears to be a better performer?

The Following Information Is Provided for Two Companies in the Same