Industry Return on Assets (ROA)Industry Return on Assets (ROA) is an indicator of how profitable a company is relative to its total assets. It shows how efficient management is at using its assets to generate earnings. It is calculated by dividing a company's annual earnings by its total assets. The percentage shown is a proxy number. It averages the ROA of a certain number of companies within a particular industry sector. Be advised that the ROA percentage shown includes fixed assets, as well as short-term assets.
Attributable Profit
Attributable Profit Profit Attributable to Management:
Multiply your business's assets by the industry ROA percentage and then subtract that result from your business's average profit over the prior three years. It is the estimated profit that can be attributed to your management team's expertise.
Profit Attributable to Key Employee:
Of the profit attributable to your management team, it's the portion that can be attributed to a particular key employee based on contributions such as sales, efficiency, intellectual capital, leadership, etc.
Management:$0
Key Employee 1:$0
Key Employee 2:$0
Key Employee 3:$0
Estimated Value
Estimated ValueThe Estimated Value of a particular key employee represents the dollar value they contribute to your business earnings, and the potential impact on your business if you lost the essential employee.
$0
$0
$0
This interactive calculator is made available to you as a self-help tool for your independent use and is not intended to provide financial advice. We cannot and do not guarantee its applicability or accuracy in regard to your individual circumstances. Examples are for illustrative purposes. We encourage you to seek personalized advice from a qualified financial professional regarding all personal and business finance issues. MassMutual will assume no responsibility for the use of or reliance on this calculator.
1 Source: Bizminer Industry Financial Profiles, 2010