Which of the following is the formula for calculating owner's return on equity (ROE)?

Which of the following is the formula for calculating owner's return on equity (ROE)?

Which of the following is the formula for calculating owner's return on equity (ROE)? 




A. Net Income/Average Investment

B. Net Income/Owner's Equity Investment

C. Total Liabilities/Total Owner's Equity

D. Total Liabilities/Total Assets



Answer: B


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