19, Mar 2021
Company A has a return on assets of 4% and a return on equity of 15%, while company B has a return on assets of 4% and a return on equity of 10%. Is company A more likely to be a better investment for shareholders than company B? Under what circumstances would you prefer to be a shareholder of company A?

Company A has a return on assets of 4% and a return on equity of 15%, while company B has a return on assets of 4% and a return on equity of 10%. Is company A more likely to be a better investment for shareholders than company B? Under what circumstances would you prefer to be a shareholder of company A?

What information does the statement of retained earnings provide ?