Your 27-Year-Old Brother and You Decide to Get in Shape

question 41

Multiple Choice

Your 27-year-old brother and you decide to get in shape and start running.After the first run of 3 miles,your brother is winded and tired.He is surprised because he was a cross-country runner in high school.What would you tell him?

• A)He is experiencing a normal decline in vital capacity.
• B)He really needs to go to the doctor,that there must be something wrong with him
• C)He is simply too old to run any longer.
• D)After years of a sedentary lifestyle,he is probably at risk of a heart attack.

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Definitions:

ROE

Return On Equity; a measure of a corporation's profitability that reveals how much profit a company generates with the money shareholders have invested.

Operating ROA

A financial ratio that measures the efficiency of a company's operation by dividing its operating income by its total assets.

Net Profit

The amount of income that remains after all expenses, taxes, and costs have been subtracted from total revenue; a key indicator of a company's profitability.

EBIT

Earnings Before Interest and Taxes, a measure of a firm's profit that includes all expenses except interest and income tax expenses.