Return on Equity

on . Posted in Project Management Engineering

Return on equity, abbreviated as ROE, is the ability of a firm to generate profits from its shareholders investments in the company.

 

return on equity Formula

\(\large{ ROE =  \frac{ NI }{ ASE }   }\)
Symbol
\(\large{ ROE }\) = return on equity
\(\large{ ASE }\) = average shareholders' equity
\(\large{ NI }\) = net income

 

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