What happens next?

How to measure return on assets
Identify the average total assets owned by the company during the time period under consideration.
This is important, since knowing this figure makes it possible to understand what resources are available to aid in generating revenues within any given time period.
Determine the total amount of net income generated by the business during the specified time period.
Net income is calculated by subtracting operational expenses from the gross income that is received during that period. This figure effectively helps you understand how much was left after all essential expenses due for that period were settled.