Prowler reports net income of $250,000.The return on assets for the year is 20%.What is Prowler's average total assets for the year?

Name: Prowler reports net income of $250,000.The return on assets for the year is 20%.What is Prowler's average total assets for the year?
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Quizplus · Accepted Answer

Return on assets = Net income / Average total assets20% = $250,000 / Average total assetsAverage total assets = $250,000 / 20%Average total assets = $1,250,000

Prowler Reports Net Income of $250,000