Why on earth is there a different calculation that uses EBIT in the numerator instead of NI to calculate ROA in the Granite Corp. example?
CFAI Volume 3
Study Session: 8
Page: 62
Paragraph: 1
I found this previous thread but it proved to be somewhat useless. Anyone have a good working theory?
My guess is that the Net Income version will be the only one present on the exam but it is definitely curious considering how big of a difference the ROA is between the two calculations.