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Adams Service Company Had a Net Income of $14,500 for the Year

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Essay

Adams Service Company had a net income of $14,500 for the year ending December 31,2018.The total assets on January 1,2018 were $28,000.The total assets on December 31,2018 were $16,000.
Calculate Adam's return on assets (ROA).Show your computations and label your work.Round your answer to two decimal places.


Definitions:

Efficiently

The ability to achieve a desired result without wasting materials, time, or energy.

Scarcity

The fundamental economic problem of having seemingly unlimited human wants in a world of limited resources, leading to the necessity of making choices.

Economize

The act of reducing waste or optimizing the use of resources to save money or achieve greater efficiency.

Affluent

Describes individuals, communities, or nations with a high level of wealth and income, typically measured by the standard of living and purchasing power.

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