Financial Ratios
Return on equity (ROE)
How much profit the business earns relative to owners’ equity.
The question this calculator helps answer
What return am I earning on owners’ equity?
The interactive calculator appears here as soon as the page loads. Calculations run in your browser and no account is required.
Frequently asked questions
What does this calculator tell me?
What return am I earning on owners’ equity? How much profit the business earns relative to owners’ equity.
Can I use estimates instead of exact figures?
Yes. Start with your best estimate, then change assumptions to see how sensitive the answer is. Better inputs produce a better decision.
Can I compare more than one option?
Yes. Save one option, change the assumptions, save another, and compare the results side by side.