Ally's Allied Apples Has Net Profit After Taxes of $30

question 83

Multiple Choice

Ally's Allied Apples has net profit after taxes of $30, total assets of $989, sales of $979, owner's equity of $990, and interest expense of $56. Which of the following is the return on equity for this business?

• A) 0.030
• B) 0.057
• C) 0.989
• D) 1.87

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Definitions:

Major Premise

A primary statement or proposition upon which an argument is based.

Minor Premise

In a syllogism, the premise that provides a specific instance or example related to the major premise.

Categorical Syllogism

A form of deductive reasoning consisting of three statements: a major premise, a minor premise, and a conclusion, each sharing a common term.

Middle Term

In logic, the term that appears in both premises of a syllogism but not in the conclusion, used to link the major and minor terms.