Return On Assets Calculator

What does "return on assets" mean?

Our return on assets (ROA) calculator uses a business’ net profit to work out the return of a business in the form of a percentage. It is generally expressed a percentage of increase or decrease in the value of an asset which could be the business you intend to purchase. Return on assets is a basic but important analytical tool that is commonly used by business owners and investors.

How do you calculate return on assets?

If a business is selling price of $200,000 and the net profit was $50,000 for the past year.

Use this formula to work out return on assets:

ROA = (net annual profit / asset price) x 100

ROA = (50 000/200 000) x 100

In this case, your ROA is 25%.

Return On Asset Calculator (ROA)

Return On Assets (ROA):%

Calculator Disclaimer

The results from this tool should be used as an indication only and does not constitution financial advice. Always seek professional advice prior to purchasing a business or making a serious business decision.

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