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English definition of “return on assets”

return on assets

noun [C or U]
 
 
( abbreviation ROA)
FINANCE, ACCOUNTING a company's profit for a particular period compared with the value of its assets (= factories, equipment, etc.) for that period. This shows how effectively the company is using its assets: The company had a 1.5% return on assets, a measure of its strong profitability.
(Definition of return on assets from the Cambridge Business English Dictionary © Cambridge University Press)
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