Janzen Corporation Had Total Capitalization of $890 Million

question 100

Multiple Choice

Janzen Corporation had total capitalization of $890 million.It had sales of $900; cost of goods sold of $595 million, and operating expenses of $95 million.Tax rate is 40%.Calculate the company's Return of Capital.

• A)18%
• B)16%
• C)14%
• D)12%

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Definitions:

Labor Market

The supply and demand for labor, where employers find employees and individuals find jobs.

Compensating Differentials

Variation in wages that arises to offset the desirability or undesirability of a job or the costs and benefits of working in different locations.

Less Pleasant

A subjective assessment indicating that something is not as enjoyable or agreeable as other options or experiences.

Compensating Differentials

Wage differences across jobs that reflect the desirable or undesirable aspects of different jobs, aiming to compensate workers for job attributes like risk or undesirable hours.