Contrast Crystal Company Has Experienced Some Questionable Changes in Both

question 30

Multiple Choice

Contrast Crystal Company has experienced some questionable changes in both its operating income and total assets.The managerial accountant reported that operating income has decreased by 6% from $400,000 to $376,000 and its total assets have decreased by 6% from $2,025,000 to $1,900,000 in 2012.
Required
Compute the original ROI and the final ROI.

• A)35%;14%
• B)20%;20%
• C)20%;16%
• D)25%;28%
• E)13%;18%

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Definitions:

Graves Disease

Disease associated with the over-production of T3 and T4 by the thyroid; caused by antibodies that interact with TSH receptors in the thyroid.

Somatostatin

Hormone, produced by the pancreas, stomach, and small intestine, that inhibits the effects of growth hormones; also suppresses activity of hormones such as insulin and glucagon.

Blood Glucose Levels

The concentration of glucose present in the blood, important for maintaining metabolic homeostasis and energy for the body.

Immune Response

The reaction of the body's immune system to foreign substances or pathogens, involving both specific and nonspecific defense mechanisms.