Return on equity, abbreviated as ROE, is the ability of a firm to generate profits from its shareholders investments in the company.
return on equity Formula |
| \(\large{ ROE = \frac{ NI }{ ASE } }\) |
| Symbol |
| \(\large{ ROE }\) = return on equity |
| \(\large{ ASE }\) = average shareholders' equity |
| \(\large{ NI }\) = net income |
