A firm has a debt ratio of 40 percent. Currently, it has interest expense of $500,000 on $5,000,000 of total debt outstanding, and a tax rate of 40 percent. If the firm's ROA is 6 percent, by how many percentage points is the firm's ROE greater than its ROA?
a. 0.0%
b. 4.0%
c. 5.8%
d. 7.4%
e. 10.0%
b
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_____ are intraorganizational networks that support web applications and help HR managers post position vacancy announcements for employees to peruse and consider from their own PCs.
Fill in the blank(s) with the appropriate word(s).
Which of the following is true in regards to instant messaging?
A) IM is more secure than email. B) IM doesn't get misused as a one-to-many broadcast method as often as email does. C) IM takes longer to plan, write and send than email. D) IM is universally accepted in corporate communications. E) IM is typically used internally to the organization and is rarely used for customers and other important audiences.
According to the text, when the IC headquarters decides which subsidiary would get to fill an order for a customer abroad, IC management would consider all of the following except:
A. comparative order backlogs. B. production costs. C. how well they know and have worked with subsidiary managers. D. tax rates. E. currency restrictions.
Which of the following statements regarding product benefits is most likely true?
A) People do not buy benefits, they buy features. B) A benefit provides the customer with a personal advantage. C) Prospects usually display equal interest in features and benefits. D) Product features and benefits are the same but presented differently to consumers. E) Salespeople should avoid describing features and focus exclusively on product benefits.