The So-Called 'DuPont Formula' Defines Capital Employed As

question 20

Multiple Choice

The so-called 'DuPont formula' defines capital employed as:

• A) The sum of shareholders' equity plus long-term debt (including current portion).
• B) The sum of fixed assets net of depreciation and current assets net of provision for bad debt.
• C) Shareholder capital plus retained earnings,reserves (and provisions if applicable).
• D) The sum of net fixed assets plus working capital.

---

Definitions:

Spring

A season of the year following winter and preceding summer, characterized by rising temperatures and the budding of plants.

Contract Rescinded

The act of legally canceling a contract, returning all parties to their positions prior to the agreement.

Innocently Mistaken

A situation where a person is wrongly believed or judged without intentional fault.

Used Truck

A vehicle that has been previously owned and operated, and is available for purchase in the secondary market.