Luther Corporation's Stock Price Is $39 Per Share and the Company

question 3

Multiple Choice

Luther Corporation's stock price is $39 per share and the company has 20 million shares outstanding.Its excess cash in 2009 is $23.4.If EBIT is 41.2 and tax rate is 35%,its Return on Invested Capital in 2009 is closest to:

• A)0.104
• B)0.064
• C)0.038
• D)0.068

---

Definitions:

Postural Drainage

A technique used to clear mucus from the lungs by positioning the body so that gravity helps in the drainage of secretions from lung segments.

Chest Percussion

A technique used in respiratory therapy involving rhythmic tapping on the chest to help loosen and mobilize mucus in the lungs.

Pulmonary Embolus

A blockage in one of the pulmonary arteries in the lungs usually caused by blood clots that travel to the lungs from the legs or, less commonly, other parts of the body.

Pulse Oximetry

A non-invasive method for monitoring a person's oxygen saturation or the oxygen levels in their blood.