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Product AnalyticsStrategy

A Refresher on Return on Assets and Return on Equity

Amy GalloHarvard Business Review7 min readApril 4, 2016
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Summary

Gallo demystifies ROA and ROE for non-finance managers, explaining what these ratios measure, how to calculate them, and what they reveal about a company's performance. The article uses clear examples to show how these metrics help evaluate management effectiveness and compare companies across industries.

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