Net Income Does Not Appear in the Numerator of the

question 119

Multiple Choice

Net income does not appear in the numerator of the

• A) profit margin.
• B) return on assets.
• C) return on ordinary shareholders' equity.
• D) payout ratio.

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Definitions:

Petty Cash Fund

A small amount of cash on hand used for covering minor expenses, managed through an imprest system.

Mail and Postage

Expenses related to sending mail, including the cost of stamps, postage meters, and postal services.

Missing Funds

A situation where there is a discrepancy in accounting, indicating that money or assets are unaccounted for or lost.

Bank Statement

A document provided by a bank, detailing the transactions, balance, and other financial information in an account for a specific period.