Calculate ROI Return on Total Equity and Return on Common Eq

Calculate ROI, Return on Total Equity, and Return on Common Equity for 2017. Please include calculations.

Solution

Ratio Formula 2017 Formula used Return on Investment =Net Income / (Debt + Total Equity) 3.0% =743/(4837+6194+13766) Return on Total Equity =Net Income /Total Equity 5.4% =743/13766 Return on Common Equity =Net Income (ecluding profit from unconsolidated affiliate commpanies)/Common Equity 13.0% =(743-16)/5593