Last Year Kruse Corp Had $410,000 of Assets (Which Is

question 83

Multiple Choice

Last year Kruse Corp had $410,000 of assets (which is equal to its total invested capital) ,$403,000 of sales,$28,250 of net income,and a debt-to-total-capital ratio of 39%.The new CFO believes the firm has excessive fixed assets and inventory that could be sold,enabling it to reduce its total assets and total invested capital to $252,500.The firm finances using only debt and common equity.Sales,costs,and net income would not be affected,and the firm would maintain the same capital structure (but with less total debt) .By how much would the reduction in assets improve the ROE? Do not round your intermediate calculations.

• A) 7.05%
• B) 6.69%
• C) 6.41%
• D) 7.26%
• E) 7.82%

Recognize the significance and applicability of Freud's structural and topographical models of the mind.

Distinguish between the psychodynamic approaches of different theorists (Freud, Jung, Adler, Horney).

Explain the use and purpose of humor in psychological perspectives.

Understand the method and purpose of psychodynamic therapy techniques.

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Definitions:

Conversion Disorder

A mental health condition where psychological stress is expressed through physical symptoms with no identifiable physical cause.

Addiction

A chronic condition characterized by the compulsive use of substances or engagement in behaviors despite harmful consequences.

Substance

A form of matter with consistent properties and composition; can refer more broadly to material presence or subject matter under consideration.

Alcohol

A psychoactive substance found in beverages such as beer, wine, and spirits, known for its mood-altering effects and potential for addiction.