The Following Information Is Available for the Gold Company What Is the Return on Stockholders' Equity for the Year

question 122

Multiple Choice

The following information is available for the Gold Company:
$\begin{array} { l }\text { Net income for the year ended December 31, } 2014&\$127.4\\ \text {Retained earnings, December 31, 2014 }&150.0\\ \text {Retained earnings, December 31, 2013 }&180.0\\ \text {Total assets, December 31, 2014 }&470.0\\ \text {Total assets, December 31, 2013 }&442.0\\ \text {Total liabilities, December 31, 2014 }&240.0\\ \text { Total liabilities, December 31, 2013}&182.0\\\end{array}$

What is the return on stockholders' equity for the year ended December 31,2014?

• A) 24.1%
• B) 27.1%
• C) 52.0%
• D) 55.4%

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Definitions:

Independent Variable

In an experiment, the variable that is manipulated or changed by the researcher to observe its effect on the dependent variable.

Correlational Study

A research method that examines the relationship between two variables to determine if a statistical association exists, without establishing cause-and-effect.

Statistically Significant

A measure indicating that the likelihood of a particular result occurring by chance is low, and thus, the result can be considered to have genuine association.

Correlational Study

A research method that examines the relationship between variables, without implying a cause-and-effect relationship.