Return on Assets (ROA)

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Term: Return on Assets (ROA)

Definition:This term describes the ratio of net income to total assets of an organization. This is a major financial measure, which is sometimes used as a determining factor in the establishment of incentive plans.

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26 - Compensation Committees: Framework for Executive Compensation Alignment 13
21 - Compensation for Business Leaders 12
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The ERI Distance Learning Center is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website: https://www.nasbaregistry.org/

ERI Economic Research Institute is recognized by SHRM to offer Professional Development Credits (PDCs) for the SHRM-CP® or SHRM-SCP®