You are writing a book on how to evaluate performance evaluation for a company.
Respond to the following in a minimum of 175 words:
- Think about some of the influences and measures of company performance that you read about this week.
- Explain the use of return on assets (ROA) and the price-to-earnings (PE) ratio in evaluating the performance of a company.
- Write about how to calculate ROA and PE ratio and how market conditions can affect these metrics.
- Share the ROA and PE ratio for a company you are familiar with. What do these metrics tell you about the financial health of the company?