Melanie Grafil

One of the many metrics that investors use when evaluating a company is return on assets. The greater the return a company can achieve using a given amount of capital, the higher the valuation that investors are likely to give it. Discover More: 6 Genius Things All Wealthy People Do With Their Money An Overview of the Return on Assets Ratio Formula Return on assets is a measure of corporate efficiency. The more a company can earn relative to its total assets, the more productive it is. As companies that are more productive can generate more long-term profits, they are highly regarded by analysts and investors alike. But, how exactly can you calculate what a company's return on assets is? Here's all you'll need to know about ROA. Rate of Return on Assets Formula The formula to calculate corporate rate of return on assets is quite simple. All you have to do to calculate it is divide a company's net income by its total assets. It's important to note, however, that a company's "total...

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Investors look for many ways to generate returns, but most of them gravitate toward stocks and bonds. Stocks have a higher upside potential but also come with more risk. Meanwhile, bonds offer fixed returns but have less potential upside. Read Next: 6 Genius Things All Wealthy People Do With Their Money Catastrophe bonds, also known as cat bonds, act as a middle ground between stocks and traditional bonds. These bonds have higher yields than traditional bonds but also come with more risks. This guide will explore how catastrophe bonds work and what to keep in mind before investing in them. What Are Catastrophe Bonds? Catastrophe bonds are debt instruments that help insurance companies hedge against risks. These insurance-linked securities pay elevated interest rates in exchange for a specific type of coverage. Some catastrophe bonds cover the issuer from hurricanes, while others protect the issuer from earthquakes. Catastrophe bonds typically mature within three to five years. It's all...

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Buying a car is undeniably expensive. After finalizing your deal, you'll need to include the costs of tax, title and registration fees. Naturally, you may wonder, is vehicle sales tax deductible? In some cases, the answer is yes. Learn about vehicle sales tax and what you have to do to claim your deduction. Discover More: 6 Genius Things All Wealthy People Do With Their Money What Is Vehicle Sales Tax? All new and used vehicle purchases are charged a sales tax. The vehicle sales tax is a tax imposed by city and state governments on the purchase of the car. The rate can vary from state to state and in some instances from county to county. Usually the sales tax has to be paid before you can receive title and registration to your vehicle. Who Can Claim a Vehicle Sales Tax Deduction? Both individuals and a business can claim a vehicle sales tax deduction, but they must meet eligibility requirements. For individuals, to claim the vehicles sales tax deduction, you must: Itemize...

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