The Numerator of the Rate Earned on Total Assets Ratio

question 37

Multiple Choice

The numerator of the rate earned on total assets ratio is

• A) net income
• B) net income plus tax expense
• C) net income plus interest expense
• D) net income minus preferred dividends

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Definitions:

Change

The implementation of a program or plan to move the organization or its members to a more satisfactory state.

Diagnosis

The identification of the nature or cause of a particular phenomenon, often used in the context of medical conditions but also applicable to problem-solving in various fields.

Team Building

An effort to increase the effectiveness of work teams by improving interpersonal processes, goal clarification, and role clarification.

Stakeholders

People inside or outside of an organization who have the potential to be affected by organizational decisions.