The difference between a company's assets and its liabilities, or net assets is:
A. Expense.
B. Net income.
C. Revenue.
D. Net loss.
E. Equity.
Answer: E
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Which of the following is not an acceptable inventory costing method?
a. Specific identification b. Last-In, First-Out (LIFO) c. First-In, First-Out (FIFO) d. Average cost e. Next-In, First-Out (NIFO)
E-mail is another name for Hypertext Markup Language
Indicate whether the statement is true or false
Research supporting ____ theory found that maintenance factors can lead to employees feeling not satisfied and motivator factors can lead to employees feeling satisfied.
a. McClelland’s achievement b. Herzberg’s c. Reinforcement d. Expectancy
Exhibit 15.1 Zorn Corporation is deciding whether to pursue a restricted or relaxed working capital investment policy. The firm's annual sales are expected to total $4,400,000, its fixed assets turnover ratio equals 4.0, and its debt and common equity are each 50% of total assets. EBIT is $150,000, the interest rate on the firm's debt is 10%, and the tax rate is 40%. If the company follows a restricted policy, its total assets turnover will be 2.5. Under a relaxed policy its total assets turnover will be 2.2. Refer to Exhibit 16.1. Assume now that the company believes that if it adopts a restricted policy, its sales will fall by 15% and EBIT will fall by 10%, but its total assets turnover, debt ratio, interest rate, and tax rate will all remain the same. In this situation, what's the
difference between the projected ROEs under the restricted and relaxed policies? Do not round intermediate calculations. A. 1.83% B. 1.88% C. 2.21% D. 1.55% E. 2.12%