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Return on Equity (ROE) Calculation : Calculate the return on equity (ROE) for a company with net income of $90,000 and average shareholders' equity of

  1. Return on Equity (ROE) Calculation: Calculate the return on equity (ROE) for a company with net income of $90,000 and average shareholders' equity of $300,000. What does this ratio indicate about the company’s profitability?

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