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The Following Information Pertains to Unique Company

question 46

Multiple Choice

The following information pertains to Unique Company. Assume that all balance sheet amounts represent both average and ending balance figures. Assume that all sales were on credit. The following information pertains to Unique Company. Assume that all balance sheet amounts represent both average and ending balance figures. Assume that all sales were on credit.   What is the return on assets for this company? A)  6.8% B)  10.0% C)  11.7% D)  26.7% What is the return on assets for this company?


Definitions:

Credit Sales

Transactions where goods or services are provided to a customer with the agreement that payment will be made at a future date.

Selling and Administrative

Expenses associated with the company's efforts to sell its products and manage the overall organization, excluding production costs.

Variable Cost

A cost that changes in proportion to the level of output or activity in a company.

Fixed Cost

Costs that remain constant in total, regardless of changes in the level of production or sales volume, such as rent, salaries, and insurance.

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