Which of the Following Firms Would Be Expected to Have

question 39

Multiple Choice

Which of the following firms would be expected to have a high ROE based on that firm's high operating efficiency?

• A)a medical supply company that provides very precise instruments at a high price to large medical establishments such as hospitals
• B)a high-end fashion retailer that has a very high mark-up on all items it sells
• C)a brokerage firm that has high levels of leverage
• D)a grocery store chain that has very high turnover,selling many multiples of their assets per year

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Definitions:

3-Iodo-3-ethylpentane

An organic compound featuring an iodine atom on the third carbon of a pentane chain, which also has an ethyl group attached to the same carbon.

Sodium Methoxide

A strong base used in organic synthesis, prepared by reacting sodium with methanol.

Methanol

A simple alcohol compound, used as a solvent, fuel, and antifreeze, characterized by one hydroxyl group attached to a methyl group.

Iodocyclohexane

An organic compound consisting of a cyclohexane ring in which one hydrogen atom has been replaced by an iodine atom.