The Net Income of a Company for the Year Ended

question 44

Multiple Choice

The net income of a company for the year ended was $500,000. The company has no preferred stock. Common stockholders' equity was $1,000,000 at the beginning of the year and $2,000,000 at the end of the year. Calculate the return on common stockholders' equity.

• A)18.75%
• B)20.00%
• C)21.43%
• D)33.33%

---

Definitions:

Deep Space

The regions of space outside the Earth's atmosphere and beyond the solar system.

Whaling Industry

The practice of hunting whales for their usable products like meat, oil, and blubber, which has historically played a significant economic role in some cultures.

Whale Meat

The flesh of whales used as food, which is a controversial subject due to conservation efforts.

Japan

An island country in East Asia known for its rich history, diverse culture, and advanced technology.