The Net Income of a Company for the Year Was

question 138

Multiple Choice

The net income of a company for the year was $570,000.The company has no preferred stock.Common stockholders' equity was $1,800,000 at the beginning of the year and $2,300,000 at the end of the year.Calculate the rate of return on common stockholders' equity.(Round your answer to two decimal places. )

• A)24.78%
• B)19.86%
• C)31.67%
• D)27.80%

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Definitions:

Spike

A sharp increase or sudden upward movement, as in the context of graphs, prices, or signals.

Strong and Broad

Typically refers to the characteristic appearance of certain signals in spectroscopy, indicating a large distribution of energy levels or interactions.

IR Absorption

The process where a molecule absorbs infrared radiation, leading to vibrational transitions, used in spectroscopy to identify chemical compounds.

Intense IR Absorption

Refers to the strong absorption of infrared light by a molecule, typically due to specific bond vibrations, useful in identifying functional groups.