The Balance Sheets at the End of Each of the First

question 24

Multiple Choice

The balance sheets at the end of each of the first two years of operations indicate the following: ? $\begin{array}{lrr}&2017&2018\\\text { Total current assets } & \$ 600,000 & \$ 560,000 \\\text { Total investments } & 60,000 & 40,000 \\\text { Total property, plant, and equipment } & 900,000 & 700,000 \\\text { Total current liabilities } & 125,000 & 80,000\\\text { Total long-term liabilities } & 350,000 & 250,000 \\\text { Preferred } 9 \% \text { stock, } \$ 100 \text { par } & 100,000 & 100,000 \\\text { Common stock, } \$ 10 \text { par } & 600,000 & 600,000 \\\text { Paid-in capital in excess of par-common stock } & 60,000 & 60,000 \\\text { Retained earnings } & 325,000 & 210,000\end{array}$ ?
Based on the above information, if net income is $130,000 and interest expense is $40,000 for 2017, what is the return on stockholders' equity for 2017 (round to one decimal place) ?

• A) 16.5%
• B) 12.7%
• C) 12.0%
• D) 13.2%

Recognize the different types of motivations and their underlying dynamics.

Identify the role of self-actualization in Maslow's hierarchy of needs.

Learn the difference between intrinsic and extrinsic motivation and their effects on behavior.

Comprehend the impact of biological factors on motivation and behavior.

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Definitions:

Triple Bottom Line

An accounting framework that incorporates three dimensions of performance: social, environmental, and financial.

Environmental

Pertains to the natural world or the ecological and physical conditions in which an organization operates.

Economic

Relating to the production, distribution, and consumption of goods and services, and the study of how societies manage scarce resources.

Related Party Transactions

Related party transactions are transfers of resources or obligations between a reporting entity and a related party, potentially affecting the financial position or performance of the entity.