If a firm's ROE is equal to 9% and its ROA is equal to 6%, its equity multiplier must be 1.5.
Answer the following statement true (T) or false (F)
True
Rationale: Equity multiplier = ROE/ROA = 9%/6% = 1.5. Thus, the statement is true.
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Calculate the net income of Blake Auto Supply.
The following information relates to Blake Auto Supply.
A) $22,500
B) $33,500
C) $76,500
D) $240,000
Which of the following is FALSE statement about volunteers, from the survey taken in 2005 by the Bureau of Labor Statistics?
a. Women volunteer more often than men b. Less than a quarter of the population of the U.S. volunteers c. Volunters are more likely to be married d. Volunteering is highest in age group 35-44 e. The largest number of volunteers volunteer for a religious organization
Acme, Inc has prepared its third quarter budget and provided the following data
Jul Aug Sep Cash collections $50,000 $39,600 $46,100 Cash payments: Purchases of direct materials 30,000 21,700 17,600 Operating expenses 12,300 8,000 11,600 Capital expenditures 13,700 24,300 0 The cash balance on June 30 is projected to be $4,100. The company has to maintain a minimum cash balance of $5,000 and is authorized to borrow at the end of each month to make up any shortfalls. It may borrow in increments of $5,000 and has to pay interest every month at an annual rate of 5%. All financing transactions are assumed to take place at the end of the month. The loan balance should be repaid in increments of $5,000 whenever there is surplus cash. How much will the company have to borrow at the end of July? A) $0 B) $5,000 C) $15,000 D) $10,000
NestleWhen consumers think of Nestle, they probably think of chocolate. Historically, though, Nestle's confectionary business is its weakest area. Based in Switzerland, it is the world's largest food company, with a brand arsenal of Nescafe, Jenny Craig, Perrier, Purina, and PowerBar, just to name a few of its 30 product lines. Nestle is hoping to become the "world's leading health, nutrition, and wellness firm" by spending billions of dollars on research and development of functional foods--foods that have pharmaceutical-like capabilities to enhance energy and heart, bone, gut, and other health. Nestle wants consumers to see chocolate as a pharmaceutical product rather than just a treat. Part of this new focus includes streamlining their product mix by selling underperforming
items or lines that do not fit its new direction. Critics claim this new focus could hurt the company's existing brands if the new products fail. Additionally, it may be an uphill battle convincing consumers that a company known for indulgence is now a wellness company.Refer to Nestle. Some of Nestle's products include bottled water, candy, and coffee, which would be classified as what type of consumer products? A. heterogeneous shopping products B. homogeneous shopping products C. convenience products D. specialty products E. unsought products