What does the analysis tell you about overall profitabity

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Ratio analysis.

The following is a 5-year comparative analysis of Accent Company's return on assets and return on equity.

 

2005

2006

2007

2008

2009

Return on assets

8%

7.5%

7.12%

6.54%

6%

Return on equity

20%

21 %

21.8%

22.2%

23%

a. What does this analysis tell you about the overall profitability of Accent Company over the 5-year period?

b. What does this analysis tell you about what has happened to Accent's amount of debt over the past 5 years?

Reference no: EM13937724

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