Precision Aviation Had a Profit Margin of 6

question 130

Multiple Choice

Precision Aviation had a profit margin of 6.25%,a total assets turnover of 1.5,and an equity multiplier of 1.8.What was the firm's ROE?

• A)15.23%
• B)16.03%
• C)16.88%
• D)17.72%
• E)18.60%

---

Definitions:

Economy

Represents the system of production, distribution, and consumption of goods and services within a specific region or country.

Efficiency

Efficiency in economics means the optimal allocation of scarce resources to meet the desired objectives, minimizing waste and maximizing value.

Economy

A broad term that encompasses all activities related to the production, consumption, and trade of goods and services in an area or country.

Partial Equilibrium

A concept in economic analysis that examines the equilibrium condition in a single market or sector without considering interactions with other markets or sectors.