If a Law Requires That You Always Wear a Seat

question 1

Multiple Choice

If a law requires that you always wear a seat belt for your own protection, then that law is best described as

• A) responsible.
• B) showing deference.
• C) authentic.
• D) paternalistic.

---

Definitions:

Common Shareholders' Equity

The portion of a company's equity that is attributable to common shares, representing the residual interest in the net assets of the company.

Return on Assets

A profitability ratio that measures how efficiently a company uses its assets to generate profit, calculated by dividing net income by total assets.

Debt to Total Assets

A financial ratio that shows the proportion of a company's assets that are financed through debt.

Basic Earnings per Share

A measure of a company's profitability, calculated by dividing net income by the number of outstanding common shares.