reason behind decreasing of ROE in firm
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Declining ROE suggests the company is becoming less efficient at creating profits and increasing shareholder value. To calculate the ROE, divide a company's net income by its shareholder equity. ... ROE = Net Income / Shareholder Equity.
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Answered by
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Explanation:
Declining ROE suggests the company is becoming less efficient at creating profits and increasing shareholder value. To calculate the ROE, divide a company's net income by its shareholder equity. ... ROE = Net Income / Shareholder Equity.
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