Answer:
C. Return on assets ratio
Explanation:
The return on assets ratio is a profitability ratio that shows a business's ability to generate profits from its assets. The ratio communicates the management's efficiency in generating profits using the available assets. The return of assets ratio ROA is expressed as a percentage of average assets.
The formula for calculation ROA is as below.
ROA = Net income/ Average assets or ending assets x 100.
The higher the percentage, the better for a business.
