Use This Information for Kellman Company to Answer the Questions $\text { Kellman Company }$

question 152

Multiple Choice

Use this information for Kellman Company to answer the questions that follow.
​
The balance sheets at the end of each of the first two years of operations indicate the following:
​
$\text { Kellman Company }$
$\begin{array}{lrr}&\text { Year } 2&\text { Year } 1\\\text { Total current assets } & \$ 600,000 & \$ 560,000 \\\text { Total investments } & 60,000 & 40,000 \\\text { Total property, plant, and equipment } & 900,000 & 700,000 \\\text { Total current liabilities } & 125,000 & 65,000 \\\text { Total long-term liabilities } & 350,000 & 250,000 \\\text { Preferred } 9 \% \text { stock, } \$ 100 \text { par } & 100,000 & 100,000 \\\text { Common stock, } \$ 10 \text { par } & 600,000 & 600,000 \\\text { Paid-in capital in excess of par-Common stock } & 75,000 & 75,000 \\\text { Retained earnings } & 310,000 & 210,000\end{array}$
-Using the balance sheets for Kellman Company, if net income is $150,000 and interest expense is $20,000 for Year 2, what is the return on total assets for the year?

• A) 10.4%
• B) 11.9%
• C) 10.5%
• D) 8.4%

Understand the evolution of Freud's career from a neurologist to a psychoanalyst.

Grasp the concept of wish fulfillment and its role in Freudian theory.

Recognize the impact of Freudian theory on the understanding of human behavior and psyche.

Understand the concept of defense mechanisms according to Freud.

---

Definitions:

Direct Labor

The work contributed by employees who are directly involved in the manufacturing process of a product.

Indirect Materials

Supplies used in the production process but not directly traceable to a finished product, such as lubricants for machinery.

Direct Materials

Raw materials that are directly traceable and allocable to the production of specific goods or services.

Raw Materials

Basic substances in their natural, modified, or semi-processed state, used as inputs to a production process for subsequent modification or transformation into finished goods.