Marilyn Wants to Know How to Determine the Amount of Net

question 76

Multiple Choice

Marilyn wants to know how to determine the amount of net income the business earns for each dollar invested by the owner.You tell her that she should

• A) compute the earnings-per-share ratio.
• B) compute an acid-test ratio.
• C) compute the current ratio.
• D) compute return-on-equity ratio.
• E) compute the return-on-sales ratio.

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Definitions:

Participating

In a management context, the act of involving individuals or groups in the decision-making process to ensure a wide range of viewpoints and contributions.

Delegating

The process of assigning authority and responsibility to others to carry out specific tasks or functions.

Emotional Intelligence

The ability to recognize, understand, and manage our own emotions and the emotions of others effectively.

Integrity

The quality of being honest and having strong moral principles, often regarded as a fundamental trait for trustworthiness and ethical conduct.