Which of the following is an acceptable method to report total
The multiple-step method however requires more steps in order to compute total comprehensive income since this type of reporting breaks down profits or losses into separate components such as operating expenses, non-operating gains/losses, etc. This type of detailed reporting tends to be favored by larger corporations as it provides greater insight into each area’s performance and is thus ideal for making more informed decisions when managing corporate finances.
Regardless of which approach is chosen though, it is important that all information provided be accurate and up-to-date so as not mislead investors or other stakeholders about a company’s true financial health. Companies should also remember to regularly review their progress against established goals in order to ensure they remain on track towards reaching desired objectives both now and in the future.. What is the return on assets?
The return on assets (ROA) can be calculated by dividing the forecasted net income of $50,000 by the ending assets of $500,000 to yield a value of 0.1 or 10%.