Doherty Corporation Had Net Income of $30,000, Net Sales of $1,000,000

question 139

Multiple Choice

Doherty Corporation had net income of $30,000, net sales of $1,000,000, and average total assets of $500,000. Its return on total assets is:

• A) 3%
• B) 200%
• C) 6%
• D) 17%
• E) 1.5%

Develop the ability to calculate equivalent currency exchange amounts using given rates.

Understand and apply the concept of currency appreciation and depreciation.

Analyze the effects of changes in exchange rates on currencies' value.

Calculate the impact of changes in exchange rates on real-world transactions.

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Definitions:

Loanable Funds

The pool of funds available for borrowing, encompassing both savings and credits, which affects interest rates and investment.

Prime Rate

The interest rate that banks offer to their most credit-worthy customers, often used as a benchmark for other loans or credit products.

Federal Reserve

The central banking system of the United States, responsible for monetary policy, regulating banks, and ensuring financial system stability.

High-Quality Corporations

Companies known for their strong financial health, stability, product quality, and reliable customer service.