A Firm Has Total Assets of $800,000 and Total Liabilities

question 42

Multiple Choice

A firm has total assets of $800,000 and total liabilities of $200,000.If profit after tax and interest is $120,000,the return on shareholders' funds is:

• A) 20%.
• B) 8%.
• C) 12.5%.
• D) 9%.

---

Definitions:

mRNA

Messenger RNA, a type of RNA that carries genetic information from DNA to the ribosome, where it specifies the amino acid sequence of the protein products of gene expression.

Transcription Activators

Proteins that increase gene expression by binding to DNA and helping RNA polymerase initiate transcription.

RNA Polymerases

Enzymes responsible for the synthesis of RNA molecules from a DNA template, a key process in gene expression.

Repressors

Proteins that bind to operator regions on DNA to inhibit the transcription of certain genes.