Exhibit 9-9
USE THE FOLLOWING INFORMATION FOR THE NEXT PROBLEM(S)

question 15

Multiple Choice

Exhibit 9-9
USE THE FOLLOWING INFORMATION FOR THE NEXT PROBLEM(S)
The Rollerball Corporation's industry averages are as follows:
Net Profit Margin = 7.5%; Total Asset Turnover = 2.2; Total Assets/ Equity = 2.0
Rollerball Corporation has the following financial statements for year ending 12/31/2009.
(000s omitted)
$\begin{array}{lr} \text { Sales } &5,450 \\ \text { Cost of Goods Sold } &\underline {3,250 }\\ \text { Gross Profit } & 2,200 \\ \text {Depreciation } &820 \\ \text {Operating Expenses } &470 \\ \text { Administration Exp. } &\underline {115 }\\ \text {Operating Profit } & 795 \\ \text { Interest Expense } &\underline {88} \\ \text { Profit Before Taxes } & 707 \\ \text {Taxes } &\underline {247} \\ \text { Net Income } & 460 \\ \text {Dividende } &250\end{array}$ $\begin{array}{lrlr}\text { Assets } && {\text { Liabilities }} \\\hline \text { Cash } & 100 & \text { Notes Payable } & 850 \\\text { Accounts Receivable } & 1,250 & \text { Accounts Payable } & \underline{1,550} \\\text { Inventory } & \underline{1,125} & \text { Total Current Liab. } & {2,400}\\\text { Total Current Assets } & {2,475}&{\text { Long Term Debt }} & 425 \\\text { Net Fixed Assets } & \underline{1,450} & \text { Common Stock } &400 \\ {\text { Total Assets }} &{3,925} & \text { Retained Earnings } & \underline{700 }\\&&(\text { Total Liab \& Earnings }&3,925\\\end{array}$
-Refer to Exhibit 9-9. Calculate the return on equity (ROE) for Rollerball Corporation and the Industry. $\begin{array}{lrr}&\text { Rollerball } & \text { Industry Average } \\\hline\text { I. } & 115.0 \% & 67.5 \% \\\text { II. } & 65.7 \% & 33.0 \% \\\text { III. } & 41.8 \% & 33.0 \% \\\text { IV. } & 19.1 \% & 15.7 \% \\\text { V. } & 87 \% & 157 \%\end{array}$

• A) I
• B) II
• C) III
• D) IV
• E) V

Comprehending the implications and aftermath of the Watergate scandal on public trust and political dynamics.

Recognizing the efforts and policies directed towards minority business support during the 1970s.

Identifying historical first occurrences in U.S. presidencies, including non-electoral ascensions to presidency and post-presidency consequences.

Analyzing the economic challenges of the 1970s, including stagflation and its causes.