If Turnpoint Inc

question 100

Multiple Choice

If Turnpoint Inc. has net income of $400,000, assets of $5,000,000, sales of $2,000,000, and debt of 2,000,000, what is its return on equity (ROE) ?

• A) 13.3%
• B) 8%
• C) 66.7%
• D) 2%

---

Definitions:

Reducing Inventory

The process of decreasing the amount of goods on hand, often to improve cash flow or reduce storage costs.

Lean Manufacturing

An approach to production that emphasizes waste reduction and efficiency to improve overall customer value.

Lean Environment

An approach to operations that emphasizes the minimization of waste within manufacturing systems while simultaneously maximizing productivity.

Raw Materials

Basic materials used in the production process, not yet processed or manufactured into final products.