The measure of net income returned from every dollar invested in total assets is the:
A)profit margin.
B)return on assets.
C)return on equity.
D)asset turnover.
E)earnings before interest and taxes.

Question

Quizplus · Accepted Answer

Return on assets measures how efficiently a company is using its assets to generate profits. It is calculated by dividing net income by total assets.

The Measure of Net Income Returned from Every Dollar Invested