A company with a low return on assets:
A)is making profits.
B)does not have debts.
C)is not using its assets very productively.
D)is lending its assets to other companies.
E)does invest money in its assets.

Question

Quizplus · Accepted Answer

A low return on assets indicates that a company is not using its assets very productively to generate profits. This metric measures how efficiently a company can manage its assets to produce earnings.

A Company with a Low Return on Assets