What does a return on assets of 5% mean? Select one: a. It means that the company has a $5 return on every $100 of liabilities. b. It means that the company has a $5 return on every $100 of cost of goods sold. c. It means that the company has a $5 return on every $100 of revenue. d. It means that the company has a $5 return on every $100 of total assets. Clear my choice
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In this case, a return on assets of 5% means that for every $100 of total assets the company has, it generates a $5 return. Show more…
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