Zero Corp's Total Common Equity at the End of Last

question 13

Multiple Choice

Zero Corp's total common equity at the end of last year was $405,000 and its net income was $70,000.What was its ROE?

• A)14.82%
• B)15.60%
• C)16.42%
• D)17.28%
• E)18.15%

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Definitions:

Formalized Sets

Established or official groups or collections of objects, rules, or standards that are systematically organized.

Guidelines

Recommended principles or practices that serve as a framework or advice for conduct or action.

Tangible Gain

A clear and measurable benefit or advantage, often of a financial nature.

Utilitarianism

An ethical theory suggesting that the best action is the one that maximizes utility, usually defined as that which produces the greatest well-being of the greatest number of people.