Return On Assets (ROA) Calculator
An ROA calculator can be used for both business and personal needs, as it determines how much your assets are able to generate profit, such as an investment property.
ROA Calculator
What is the benefit of knowing your ROA?
By knowing your return-on-asset (ROA) you’re able to determine how much your assets are generating profit for you, and the benefit to knowing this is so you can determine if its worth re-investing in this asset, and if it meets your personal goals, and industry benchmarks.
What is considered a good and poor ROA?
Your ROA good and poor benchmarks will purely depend on your industry. For example, a good ROA for a restaurant might be 7-15%, and a poor ROA for a real estate investment could be 1-10%.
What are some ways you can improve your ROA?
Some quick ways you can improve your ROA is by looking at how much you’ve invested in the asset and if it was priced over market value, and improving your pricing strategy.
“If you’re looking for accounting advise on your return-on-assets, reach out to us and lets see how we can assist.”
– Danny Khanna, Managing Partner