Question
I am trying to determine why my company has a lower Return on Assets (ROA) than the competition. To help investigate the poor ROA performance
I am trying to determine why my company has a lower Return on Assets (ROA) than the competition. To help investigate the poor ROA performance for my company, I should look at:
Select one:
A. Whether I have too many non-productive long-term assets like goodwill.
B. The level of current assets I have including cash, inventory and receivables.
C. Whether I have growing operating expenses.
D. Review the Income Statement and identify unusual or one-time expenses below the NOI line that might be dragging down my profits
E. All of the above items should be reviewed to help determine if they are adversely impacting ROA
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