Which of These Ratios,or Levers of Performance,are the Determinants of ROE

question 18

Multiple Choice

Which of these ratios,or levers of performance,are the determinants of ROE?
I.profit margin
II.financial leverage
III.times interest earned
IV.asset turnover

• A) I and IV only
• B) II and IV only
• C) I, II, and IV only
• D) I, II, and III only
• E) I, III, and IV only
• F) I, II, III, and IV

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Definitions:

Personal Integrity

The quality of being honest and having strong moral principles that one does not breach.

Transformational Leadership

A style of leadership where the leader works with teams to identify needed change, creating a vision to guide the change through inspiration and executing the change in tandem with committed members of the group.

Transactional Leadership

A leadership style that focuses on supervision, organization, and performance; rewarding or punishing team members based on their performance.

Interactive Leadership

A leadership style that emphasizes open communication, employee involvement in decision-making, and a strong focus on building relationships.