At the End of Last Year,Ace Company Had Total Assets

question 60

Multiple Choice

At the end of last year,Ace Company had total assets in the amount of $6,000,000 and total liabilities in the amount of $4,000,000.The company issued shares to new stockholders at the beginning of the current year for $1,000,000.As a direct result of this transaction,the:

• A) debt-to-assets ratio will increase.
• B) asset turnover ratio will decrease.
• C) net profit margin ratio will increase.
• D) net profit margin ratio will decrease.

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Definitions:

Corps of Discovery

The name given to the expedition led by Lewis and Clark from 1804 to 1806 by the United States to explore the newly acquired Louisiana Territory and the Pacific Northwest.

Californios

Residents of Spanish or Mexican heritage living in California before it became a part of the United States.

Empress of China

The title given to the female ruler of an empire in China or, historically, the first American ship to trade with China in 1784, marking the start of the China trade.

Syncretic Worldview

A perspective that combines elements from different religious or cultural systems into a coherent whole.