A Firm with Sales of $1,000,000, Net Profits After Taxes

question 134

Multiple Choice

A firm with sales of $1,000,000, net profits after taxes of $30,000, total assets of $1,500,000, and total liabilities of $750,000 has a return on equity of

• A) 20 percent.
• B) 15 percent.
• C) 3 percent.
• D) 4 percent.

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Definitions:

Integrator

An individual or tool that combines various elements or systems into a cohesive, functioning whole.

Different Perspectives

The existence of varied viewpoints, opinions, or approaches within a group, enriching understanding and solutions to issues.

Empowerment Skills

Abilities and competencies that enable individuals to gain the power and confidence to make decisions, face challenges, and exert control over their lives.

Process Skills

Abilities or competencies related to managing and executing procedural tasks effectively, such as planning, monitoring, and troubleshooting.