
Concept Introduction:
Return on assets: Return on Assets (ROA) is an accounting ratio that describes how profitable a company is with respect to its total assets. ROA explains how efficiently the management has utilized the business assets for generating earnings. ROA is calculated by dividing the company's annual income by the total assets of the company. ROA is described in percentage terms.
1.
To Compute: The Return on assets for (a) AT&T and (b) Verizon.
To Find: The more successful company in total amount of sales to consumers.
To Find: The more successful company in returning net income from its assets invested.
To Explain: The Company in which you would invest and explain the reasons thereof.

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Chapter 1 Solutions
Loose Leaf for Fundamental Accounting Principles
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