If a company's net profit margin is 5% and its total asset turnover is 3.5, what is its ROA?

Name: If a company's net profit margin is 5% and its total asset turnover is 3.5, what is its ROA?
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Question

Quizplus · Accepted Answer

ROA (Return on Assets) is calculated as Net Profit Margin multiplied by Total Asset Turnover. Therefore, ROA = 5% * 3.5 = 17.50%.

If a Company's Net Profit Margin Is 5% and Its