Please use Best Buy Solution Roe = Annual net income / Shareholder Equity The amount of net income returned as a percentage of shareholders equity. Return on equity measures a corporation\'s profitability by revealing how much profit a company generates with the money shareholders have invested. Roe = $1277 /6602 = 19.34 % This is telling me that almost 20% of the companies profit is been generated due to shareholders equity Roa = Net Income / Average Total Assets The return on assets formula, sometimes abbreviated as ROA, is a company\'s net income divided by its average of total assets. The return on assets formula looks at the ability of a company to utilize its assets to gain a net profit. Roa = $1277 / 10473 = 12.19% Information from page 121 and 123 from Best Buy.