The net income of a company is $175,000 . The average book value of the company's assets is $1,300,000 . The return on total assets would be

a. 20.00%.
b. 7.43%.
c. 600.00%.
d. 13.46%.


d

Business

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According to the text, in economies like those that made up the former Soviet Union, accounting standards are relatively less complex due to the fact that they are just beginning to be developed

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

Business

Which method of preparing the operating activities section of a statement of cash flows adjusts net income to remove the effects of deferrals and accruals for revenues and expenses?

a. The direct method b. The indirect method c. Both the direct and indirect methods d. Neither the direct method nor the indirect method

Business

Waltham Corporation was organized on January 2 with 100,000 authorized shares of $10 par value common stock. During the year, Waltham had the following capital transactions: • January 5 -- issued 75,000 shares at $14 per share • December 27 -- purchased 5,000 shares at $11 per share Waltham used the par value method to record the purchase of the treasury shares. What would be the balance in

the paid-in capital from treasury stock account at December 31? a. $0 b. $5,000 c. $15,000 d. $20,000

Business

Cost of goods sold increased $200,000 and 22% from the previous year. What type of analysis was performed?

a. Vertical b. Horizontal c. Normal d. Absolute

Business