# Return On Total Assets (ROTA)

Return On Total Assets (ROTA) is a ratio that measures a company's earnings before interest and taxes (EBIT) against its total net assets.

# Return On Total Assets (ROTA)

**Return On Total Assets (ROTA)** is a ratio that measures a company's earnings before interest and taxes (EBIT) against its total net assets.

## Application of Return On Total Assets

The ratio is considered an indicator of how effectively a company is using its assets to generate earnings before contractual obligations must be paid.