Rushing had income of $150 million and average invested assets of $1,800 million. Its return on assets is:

Question

Quizplus · Accepted Answer

Return on assets (ROA) is calculated as net income divided by average total assets. 
ROA = Net income / Average total assets
Given, Income = $150 million 
Average total assets = $1,800 million 
ROA = $150 million / $1,800 million = 0.0833 = 8.3% 
Therefore, the correct answer is D, 8.3%.

Rushing Had Income of $150 Million and Average Invested Assets