Consider the Following Code Snippet: Public Class SavingsAccount Extends BankAccount

question 27

Multiple Choice

Consider the following code snippet: public class SavingsAccount extends BankAccount { . . . }
Public class CheckingAccount extends BankAccount { . . . }
) . .
SavingsAccount[] savingsAccounts = new SavingsAccount[100]; //Line 1
BankAccount bankAccounts = savingsAccounts; //Line 2
BankAccount myAccount = new CheckingAccount() ; //Line 3
BankAccounts[0] = myAccount; //Line 4
Which of the following statements regarding this code is correct?

• A) Line 2 will cause a compile-time error.
• B) Line 2 will cause a run-time error.
• C) Line 4 will cause a compile-time error.
• D) Line 4 will cause a run-time error.

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Definitions:

Interest Burden

The impact of interest expenses on a company's earnings, often expressed as a ratio or percentage of earnings before interest and taxes.

Return-On-Sales Ratio

A profitability metric that calculates the efficiency of a company in converting sales into profits, indicating how much of each dollar of sales is translated into profit.

ROE

Return on Equity, a measure of financial performance calculated by dividing net income by shareholders' equity, indicating how effectively management is using a company’s assets to create profits.

P/E Ratio

The price-to-earnings ratio, a valuation measure comparing the current share price of a company to its per-share earnings.