Calculate the Return on Assets Given the Following Information: Common

question 126

Multiple Choice

Calculate the return on assets given the following information: common shares outstanding = 300,000; earning per share = $4.00; total assets = $5,000,000; total equity = $3,000,000.

• A) 20%
• B) 21%
• C) 22%
• D) 23%
• E) 24%

---

Definitions:

SBA Programs

Initiatives and services offered by the Small Business Administration to support and assist small business development and growth in the United States.

Set-Aside Program

Component of a government contract specifying that certain government contracts (or portions of those contracts) are restricted to small businesses and/or to women- or minority-owned companies.

Government Contracts

are agreements entered between companies and government entities for the provision of goods and services.

Qualifying Small Businesses

Refers to small businesses that meet specific criteria set by government or financial entities to be eligible for benefits or incentives.