At the End of 2010,Jared Corporation Reported a Return on Assets

question 81

Short Answer

At the end of 2010,Jared Corporation reported a return on assets of 16%; net income of $42,000; average total assets of $365,000,and average total liabilities of $165,000.What was Jared's financial leverage percentage?

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Definitions:

Comparative Advantage

The ability of a country or firm to produce a particular good or service at a lower opportunity cost than its trading partners, forming the basis of international trade.

Exporting Nation

A country that sells goods and services to other countries, resulting in a net inflow of funds from international trade.

Product Price

The amount of money required to purchase a particular good or service.