RETURN ON EQUITY (ROE) measures the overall efficiency of the firm in managing its total investments in assets and in generating a return to stockholders. It is the primary measure of how well management is running the company. ROE allows you to quickly gauge whether a company is a value creator or a cash consumer. By relating the earnings generated to the shareholders equity, you can see how much cash is created from the existing assets. Clearly, all things being equal, the higher a companys ROE, the better the company. Formula: Net Income / Stockholders Equity
CIA, in accounting, is an acronym for Certified Internal Auditor; or, Cash in Advance.
COST AVOIDANCE is an action taken in the present designed to decrease costs in the future.
Enter a term, then click the entry you would like to view.