Coronation Computers Opened the Fiscal Year with a Balance Sheet

question 5

Multiple Choice

Coronation Computers opened the fiscal year with a balance sheet showing retained earnings at $355,000, and common shares at $1.2 million. It added another $500,000 from the sale of 200,000 preferred shares, which paid $.35 a share in dividends in the last quarter of the fiscal year. If the Company's net income for the year was a $412,100 and there were no dividends paid to common shareholders, what was its return on equity?

• A) 19.8%
• B) 22.0%
• C) 23.6%
• D) 28.5%
• E) 29.6%

Identify the factors leading to price rigidity in oligopolistic markets.

Grasp the concept and implications of cartels and collusion among firms.

Examine the role and effect of government regulation and antitrust laws on oligopolistic markets and collusive behavior.

Evaluate the economic outcomes of different strategic interactions among oligopolistic firms using payoff matrices.

---

Definitions:

Suprachiasmatic Nucleus

A tiny region in the brain's hypothalamus responsible for controlling circadian rhythms, influencing sleep-wake cycles based on light information received from the eyes.

Hypothalamus

A small region of the brain that plays a crucial role in many important functions, including releasing hormones and regulating body temperature.

Thalamus

A part of the brain that serves as a major relay station for sensory information, excluding smell, transmitting it to the appropriate cortical areas.

Cerebellum

A part of the brain located at the back of the skull which is responsible for coordinating voluntary movements and maintaining balance, posture, and equilibrium.