Ferman Corporation Had Net Income of $140,000 and Paid Dividends

question 46

Multiple Choice

Ferman Corporation had net income of $140,000 and paid dividends of $40,000 to common stockholders and $20,000 to preferred stockholders in 2020.Ferman Corporation's common stockholders' equity at the beginning and end of 2020 was $870,000 and $1,130,000, respectively.Ferman Corporation's return on common stockholders' equity was

• A)14%.
• B)12%.
• C)9%.
• D)8%.

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Definitions:

Wife Assault

A form of domestic violence where a husband inflicts physical, sexual, or psychological harm upon his wife.

Human History

The recorded or interpreted events of the human past, comprising social, economic, cultural, and political developments.

Divorce Rate

A statistical measure representing the number of divorces per year per a certain number of marriages in a given geographical area.

Historic High

A record level or unprecedented peak in a particular measurement or activity, often implying it has never been higher in history.