Return on Total Assets Calculator
Posted by Dinesh onReturn on total assets (RTA), %: is calculated by subtracting the wage claim of family labour from the Family Farm Income (FFI) and adding interests paid to the Family Farm Income (FFI). When this return is divided by the average total assets, we arrive at Return on Total Assets, %. As a percentage ratio to the total assets, it indicates the return on total capital. This yield can be compared to the interests paid for liabilities.
Formula:
Return on total assets = Net result + interests paid
Return on total assets (%) = 100 × (Net result + interests paid) / total capital