If Shareholders Want to Know How Much Profit a fiRm

question 53

Multiple Choice

If shareholders want to know how much profit a firm is making on their entire investment in the firm, the shareholders should look at the:

• A) Profit margin.
• B) Return on assets.
• C) Return on equity.
• D) Equity multiplier.
• E) Earnings per share.

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Definitions:

Psychotherapy

A treatment method for mental health conditions that involves talking with a mental health professional to understand and resolve problematic behaviors, beliefs, feelings, and relationship issues.

Psychological Disorder

A syndrome marked by a clinically significant disturbance in an individual’s cognition, emotion regulation, or behavior.

Insight Therapy

A form of psychotherapy that aims to increase a patient's awareness of underlying motives and defenses through discussion and interpretation.

Posttraumatic Growth

Positive psychological change experienced as a result of the struggle with highly challenging life circumstances.