Question
Mega-hospital MNO recently reported and published its RONA (return on net assets) for the fiscal year ending 06/30/2020. Among others, its RONA was meant to
Mega-hospital MNO recently reported and published its RONA (return on net assets) for the fiscal year ending 06/30/2020. Among others, its RONA was meant to offer increasingly wary investors an updated metric of financial performance that takes into account MNO's earnings with regard to fixed assets and net working capital. If RONA = 0.22, then that means _________________________________________________.
Group of answer choices
- Hospital MNO, on average, generated a $0.22 loss for every $1.00 spent on its working capital combined with its fixed assets.
- Hospital MNO spent, on average, 22% more time to realize earnings with regard to its working capital combined with its fixed assets.
- Hospital MNO realized a higher rate of return of 22% more than the prior fiscal year with regard to its working capital combined with its fixed assets.
- Hospital MNO generated a 22% return on its working capital combined with its fixed assets.
- Hospital MNO generated $0.22 more for every $10.00 spent on its working capital combined with its fixed assets.
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