The Balance Sheet and Income Statement Shown Below Are for Pettijohn

question 72

Multiple Choice

The balance sheet and income statement shown below are for Pettijohn Inc. Note that the firm has no amortization charges, it does not lease any assets, none of its debt must be retired during the next 5 years, and the notes payable will be rolled over.
-What is the firm's ROE?

• A) 8.54%
• B) 8.99%
• C) 9.44%
• D) 9.91%

Apply the matching principle by ensuring expenses and revenues are recorded in the period they are incurred or earned, regardless of the timing of cash transactions.

Understand the concept of human capital and its significance in organizations.

Comprehend the role of collaborative consumption and shared economy in modern business practices.

Recognize the impact of cloud-based solutions on global business operations and data accessibility.