Deacon Corporation has provided the following financial data from its balance sheet and income statement: Year 2Year 1Total assets$1,198,000 $1,160,000 Total liabilities$466,000 $460,000 Total stockholders' equity$732,000 $700,000 Net operating income (income before interest and taxes)$67,769    Interest expense$13,000    The company's equity multiplier at the end of Year 2 is closest to:

A. 0.64
B. 1.65
C. 0.61
D. 1.57


Answer: B

Business

You might also like to view...

Entering transactions into the journal is called posting

Indicate whether the statement is true or false

Business

A salesperson must always search for new prospects to increase sales and replace previous customers.

Answer the following statement true (T) or false (F)

Business

Using EVA to calculate residual income, the dollar cost of capital employed is the actual percentage cost of capital multiplied by the total capital employed

Indicate whether the statement is true or false

Business

The definition of in rem jurisdiction is jurisdiction based on claims against property

a. True b. False Indicate whether the statement is true or false

Business