The Following Amounts Were Taken from the Financial Statements of Ando

question 40

Multiple Choice

The following amounts were taken from the financial statements of Ando Company: $\begin{array}{lrr}&2017&2016\\\text { Total assets } & \$ 800,000 & \$ 1,000,000 \\\text { Net sales } & 720,000 & 650,000 \\\text { Gross profit } & 352,000 & 320,000 \\\text { Net income } & 108,000 & 117,000 \\\text { Weighted average number of } & & \\\quad \text { common shares outstanding } & 90,000 & 90,000 \\\text { Market price of common stock } & \$ 42 & \$ 39\end{array}$ The return on assets for 2017 is

• A) 14%.
• B) 12%.
• C) 11%.
• D) 6%.

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Definitions:

Intimate Friendship

A close and personal relationship characterized by deep affection, trust, and mutual understanding.

Business Friendship

A friendly relationship between individuals who engage in business transactions, aiming to create a positive, cooperative environment.

Business Friendship

refers to a relationship between professionals that, while based on mutual business interests, includes elements of personal connection and trust.

Acquaintances

People one knows slightly, but who are not close friends, often playing roles in professional networking or casual social interactions.