Which of the Following Firms Would Be Expected to Have

question 54

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

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Definitions:

Olive Branch Petition

A final attempt by the American colonists to avoid a war with Britain by expressing their loyalty to the British crown and seeking an end to the hostilities.

Boston Harbor

A natural harbor and estuary of Massachusetts Bay, historically significant for the Boston Tea Party of 1773.

British Soldiers

Members of the armed forces of the United Kingdom, historically involved in numerous conflicts and peacekeeping missions worldwide.

Mid 18th Century

A period ranging approximately from 1740 to 1760, marked by significant historical and cultural developments.