Explanation:
The correct answer is A (11%) because ROA is calculated as Net Income divided by Average Total Assets. In this case, ROA = 110 / 1,000 = 11%.
This question tests the understanding of Financial Statement Analysis, specifically the calculation and interpretation of profitability ratios like ROA.
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An analyst gathers the following financial information (in € millions) about a company:
Based on the provided data, the Return on Assets (ROA) is closest to:
A
11%.
B
13%.
C
15%.