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The Rate of Return on Total Assets Will Be Greater

question 123

True/False

The rate of return on total assets will be greater than the rate of return on ordinary shareholders' equity if the company has been successful in trading on the equity at a gain.


Definitions:

Management Function

The activities and responsibilities such as planning, organizing, directing, and controlling, performed by managers to achieve organizational goals.

Positive Attitude

A positive attitude is a mindset that focuses on the good aspects of any situation, believes in positive outcomes, and maintains a hopeful outlook towards challenges and endeavors.

Leading

The act of guiding or directing a group towards a specific goal or objective.

Technical Skill

The ability to perform specific tasks related to a particular field of expertise, often involving the use of tools or technology.

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