Return on Assets (ROA)is Useful in Evaluating Management,analyzing and Forecasting

question 139

True/False

Return on assets (ROA)is useful in evaluating management,analyzing and forecasting profits,and planning activities.

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Definitions:

Institutional Investors

Institutional investors are organizations such as pension funds, insurance companies, and mutual funds that invest large sums of money in securities and assets.

Angel Investor

A wealthy individual who provides capital for a business start-up, usually in exchange for convertible debt or ownership equity.

Divestitures

The process of selling off subsidiary business interests or investment by a company, often to optimize its assets.

Sell-Offs

Rapid selling of securities or assets by investors, often due to the anticipation of lower prices.