LeCompte Corp

question 94

Multiple Choice

LeCompte Corp.has $312,900 of assets,and it uses only common equity capital (zero debt) .Its sales for the last year were $620,000,and its net income after taxes was $24,655.Stockholders recently voted in a new management team that has promised to lower costs and get the return on equity up to 15%.What profit margin would LeCompte need in order to achieve the 15% ROE,holding everything else constant?

• A)7.57%
• B)7.95%
• C)8.35%
• D)8.76%

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Definitions:

Phonological Processing

Refers to the use and manipulation of sounds to understand language, essential in developing reading and writing skills.

Naming Speed

The ability to rapidly recall and articulate the names of objects, colors, symbols, or letters, a skill often used to assess reading ability and cognitive processing.

Gross Motor Skill

Involves the movement of large muscles in the body which are necessary for major activities such as walking, running, and jumping.

Basal Ganglia

A group of structures located deep within the cerebral hemispheres involved in controlling movement and coordination.