Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. return on equity (roe) is one profitability ratio

Return on Equity (ROE) is one profitability ratio that is used to determine financial performance. Can...

50.1K

Verified Solution

Question

Finance

Return on Equity (ROE) is one profitability ratio that is usedto determine financial performance. Can you see any limitationswith using ROE to determine the health of a startup business orbusiness that is 1-2 years old?

Answer & Explanation Solved by verified expert
4.4 Ratings (807 Votes)
Return on Equity or ROE is good profitability ratio but this ratio is good for stable business or the business which is in the market for atleast 5 year or more than that Start    See Answer
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Physics
1.2K views

Using arbitrary energy units we can calculate that 864 arbitrary units a u are required...

Biology
1.2K views

What is the causative agent of herpes simplex and where are the common places that it...

Accounting
1.2K views

Solano Company has sales of $820,000, cost of goods sold of $530,000, other operating expenses of...

Accounting
1.2K views

What proportion of the world's car structure is in meters?

Physics
1.2K views

A progressive wave is described by the equation y a sin wt 2nx 2 If...

Physics
1.2K views

Two identical blocks P and Q have mass m each They are attached to two...

Calculus
1.2K views

x 2x 3 Consider the graph of the function f x X 5076 What are...

Accounting
1.2K views

CHAPTER 18 3. In previous years, Cox Transport reacquired 2 million treasury shares at $20...

Accounting
1.2K views

1) If Nike, an American corporation, produces sneakers in Thailand this would count as part...

Accounting
1.2K views

Bramble Corp. uses job order costing for its line of dual zone wine refrigerators. The...

Accounting
1.2K views

Complete this question by entering your answers in the tabs below. Compute the price-earnings ratio...

Finance
1.2K views

You currently owe $4,631.00 of your credit card that charges an annual interest rate of...