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return on assets

 
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shvetsov2005



Joined: 30 Nov 2005
Posts: 115
PostPosted: Sun Jun 04, 2006 11:49 pm    Post subject: return on assets Reply with quote
What's the difference between Return on Assets and Return on Equity?
What each of them mean?
Alexander.
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welkins2139



Joined: 29 Mar 2006
Posts: 252
PostPosted: Mon Jun 05, 2006 4:17 am    Post subject: Reply with quote
Return on aseets measures the sucess the company has in using its assets to earn a profit.

Return on equity shows ratio between net come/common stockholder's investment.
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