Which of the following is an indication that a company has successfully employed leverage? a. The return

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Which of the following is an indication that a company has successfully employed leverage?

a. The return on assets exceeds the return on common stockholders’ equity.

b. The return on common stockholders’ equity exceeds the return on assets.

c. The return on common stockholders’ equity exceeds the price/earnings ratio.

d. None of the above.

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