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Frequency Distributions Can Be Used to Summarize Both Grouped and Ungrouped

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Frequency distributions can be used to summarize both grouped and ungrouped data.


Definitions:

Financial Risk

The chance of experiencing financial loss from an investment or enterprise because of different economic elements.

ROA

Return on Assets is a measure of how effectively a company uses its assets to generate profit, calculated as net income divided by total assets.

ROE

Return On Equity, a measure of financial performance calculated by dividing net income by shareholders' equity.

Financial Leverage

The use of borrowed funds to increase a company's investment potential, which can amplify both potential returns and potential losses.

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