The Segment Return on Assets

question 98

Multiple Choice

The segment return on assets:

• A) Can only be determined for international companies.
• B) Reflects the profitability of a segment.
• C) Is difficult to calculate because companies with traded stock are not required to report segment information.
• D) Is calculated as segment average assets divided by segment operating income.
• E) Is calculated as segment sales divided by segment average assets.

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