Posted: July 9th, 2022

A ratio that is widely used is return on investment. Return on investment is calculated as net income divided by the sum of long-term liabilities plus equity.

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A ratio that is widely used is return on investment. Return on investment is calculated as net income divided by the sum of long-term liabilities plus equity.
What do you think return on investment is intended to measure?
What is the relationship between return on investment and return on assets?

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