Calculate the 2009 return on equity (ROE) of a stable company using the following data:

Total sales d2500000 

Net income d2000000 

Beginning of year total assets d50000000 

Beginning of year total liabilities d35000000 

Number of shares outstanding at the end of 2009 1000000 

Price per share at the end of 2009 d20 

A. 10.0% 

B. 13.3% 

C. 16.7% 

Holding all other factors constant which of the following situations will most likely lead to an increase in a company's return on equity? The market price of the company's shares increases. Net income increases at a slower rate than shareholders' equity. The company issues debt to repurchase outstanding shares of equity.