If a Company Produces a Return on Assets of 14

question 94

Multiple Choice

If a company produces a return on assets of 14 percent and also a return on equity of 14 percent, then the firm:

• A) may have short-term, but not long-term debt.
• B) is using its assets as efficiently as possible.
• C) has no net working capital.
• D) has a debt-equity ratio of 1.0.
• E) has an equity multiplier of 1.0.

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The abuse of entrusted power for private gain by government officials or their network of contacts, which can occur at various scales from local to national.

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