Question
A companys sales revenue for the year is $1,000,000 and income before tax $100,000. Tax rate is 50%. Average total assets are $750,000. Average stockholders
A company’s sales revenue for the year is $1,000,000 and income before tax $100,000. Tax rate is 50%. Average total assets are $750,000. Average stockholders’ equity is $250,000. Return on stockholders’ equity is:
10.0% | ||
20.0% | ||
5.0% | ||
6.7 % |
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Principles of Accounting
Authors: Belverd Needles, Marian Powers, Susan Crosson
10th edition
618736611, 978-1111809508, 111180950X, 978-0618736614
