A firm has a return on equity of 20% and a total asset turnover of 4. Assuming a debt ratio of 50% and sales of $1,000,000, calculate net income
A) $25,000
B) $50,000
C) $75,000
D) $100,000
Answer: A
You might also like to view...
Upon request, the insurance company should provide the interest-adjusted net cost index
Indicate whether the statement is true or false.
Meredith and Mantel suggest each of the following is a way for a project to end except
A) reduction. B) extinction. C) inclusion. D) integration.
Assume that a time-series forecast is generated for future demand and subsequently it is observed that the forecast method did not accurately predict the actual demand
Specifically, the forecast errors were found to be: Mean absolute percent error = 10% Cumulative sum of forecast errors = 0 Which one of the statements concerning this forecast is TRUE? A) The forecast has no bias but has a positive standard deviation of errors. B) The forecast has a positive bias and a standard deviation of errors equal to zero. C) The forecast has no bias and has a standard deviation of errors equal to zero. D) The forecast has a positive bias and a positive standard deviation of errors.
Which of the following statements correctly compares Apple and Microsoft in 2016?
A. Microsoft had higher total sales than Apple. B. Microsoft had a lower cost structure than Apple. C. Apple had a higher return on revenue than Microsoft. D. Apple had a higher return on invested capital than Microsoft.