Why Did Alexander Turn Back After Conquering India

question 32

Multiple Choice

Why did Alexander turn back after conquering India?

• A)He fell ill.
• B)His army could not cross the mountain ranges to go into China.
• C)India was as far as he wanted to go.
• D)His army mutinied and refused to go any further.
• E)Civil war in Greece forced him to return.

Understand the concept of financial leverage and its impact on return on equity.

Compute and interpret the turnover ratios, including accounts receivable turnover and inventory turnover.

Understand the significance of earnings per share (EPS) and how it affects shareholder value.

Calculate and interpret the dividend payout ratio and its implication for company's dividend policy.

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Definitions:

Solvency Ratios

Ratios that measure a company’s ability to meet its long-term obligations.

Earnings Per Share

A financial metric that represents the portion of a company's profit allocated to each outstanding share of common stock, serving as an indicator of the company's profitability.

Treasury Stock

Shares that the issuing company initially distributed and then bought back, decreasing the total number of shares available for trade in the market.

Price/Earnings Ratio

A financial ratio that compares a company's share price to its earnings per share, indicating the value that investors are ready to pay for each dollar of earnings.