Return On Assets Example. This asset turnover doesn't tell us much about the performance of Box Inc. Examples of assets include property, like cars, machinery, patents, or logos.
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This ratio could be used in the company where assets are the main resources that use to generate revenue. Example for Asset-intensive companies is Auto company, Airline company, etc. The return on assets compares the net earnings of a business to its total assets.
For example, pretend Spartan Sam and Fancy Fran both start hot dog stands.
Examples of these types of industries are the airline industry, car.
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Read also: Return on Capital Employed - Formula, Example & Analysis. Your return on assets, or ROA, indicates how profitable your business is by comparing net income with your total assets. The most valuable company in the world Apple Inc is one such example.