Return on Equity

question 60

Multiple Choice

Return on equity

• A) is an activity ratio.
• B) shows how much after-tax profits are generated by each dollar of sales.
• C) is referred to by the acronym ROI.
• D) measures the rate of return on the book value of shareholders' total investment in the company.
• E) is a leverage ratio.

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Definitions:

Bass's Transactional

A theory of leadership focusing on the exchanges between leaders and followers, where leaders provide rewards or punishments based on the performance of the followers.

Transformational Leadership Theory

A leadership approach that causes change in individuals and social systems, aiming to create a vision for followers and guiding changes through inspiration.

Charisma

A compelling attractiveness or charm that can inspire devotion or enthusiasm in others.

Personal Quality

Characteristics or attributes that define an individual’s nature, often influencing their behavior and interactions with others.