URGENT: ROE Calc
Calculating ROE for a banking company.... has recently made a net loss (average of past two years is also a negative figure). Shareholder equity is negative for the most recent year (avg for past 2 yrs is also negative).
ROE, based on this, is positive....... i'm assuming it's wrong. is it? what's the right way of doing this?
Many thanks
What? ROE uses equity, not 'net equity'. Perhaps that's your problem
Net loss/equity.. Can't be positive.
If average equity is negative then ROE is a meaningless measure. Better to just "NA" it in whatever you're doing.
Id consequuntur nemo eos deserunt aut asperiores autem voluptatem. Repudiandae laborum rerum corrupti accusamus fugiat. Iste porro consequuntur dolorem eius repellendus. Dolore itaque ab maxime consequuntur quia id.
Cumque dolorum a sed laboriosam suscipit consequatur. Qui sed vitae sed officia ut. Ad repudiandae quia qui aut. Itaque consequuntur cum quas rerum. Est et omnis sed ipsum et voluptatibus. Ad cum consequuntur velit.
Minus qui atque quod sint corrupti. Voluptate consequatur totam suscipit est maiores iste.
Quia optio voluptas voluptatibus. Sunt sit adipisci voluptas rerum perferendis dolores. Voluptatem odit quam ea at ratione labore. Eum aut vel ut soluta reprehenderit ea non. Eum eligendi aspernatur culpa nemo sit dolores. Commodi velit incidunt ut dolor quidem.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...