The Formula to Compute the Rate of Return on Net

question 114

Multiple Choice

The formula to compute the rate of return on net sales is

• A)net income/net sales.
• B)net income/average common stockholder's equity.
• C)net income + interest expense, then divide by average total assets.
• D)net income/interest expense.

---

Definitions:

Society

A structured community of people bound together by similar traditions, institutions, or nationality.

Asian American

A term referring to Americans of Asian descent or origin, representing a diverse group from East Asia, Southeast Asia, and the Indian subcontinent.

Buying Patterns

Analysis of consumer purchasing habits to predict future purchasing behavior and preferences.

Assimilated

The process of adapting or becoming absorbed into a different culture or group.