The return on assets (ROA) shows the percentage of how profitable a company's assets are in generating revenue. ROA can be computed as below: R O A = Net Income Average Total Assets {\displaystyle \mathrm {ROA} ={\frac {\mbox{Net Income}}{\mbox{Average Total Assets}}}} The phrase return on average assets (ROAA) is also used, to emphasize that average assets are used in the above formula.
The return on assets (ROA) shows the percentage of how profitable a company's assets are in generating revenue. ROA can be computed as below: R O A = Net Income Average Total Assets {\displaystyle \mathrm {ROA} ={\frac {\mbox{Net Income}}{\mbox{Average Total Assets}}}} The phrase return on average assets (ROAA) is also used, to emphasize that average assets are used in the above formula.
Source: Wikipedia "Return on assets" · CC BY-SA 4.0
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