Exhibit 7.15 presents the income statement and balance sheet for Companies A, B, and C. Compute each

Question:

Exhibit 7.15 presents the income statement and for Companies A, B, and C. Compute each company’s return on assets, return on equity, and return on invested capital. Based on the three ratios, which company has the best operating performance?
Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...