Question
Common Stockholders' Profitability Analysis A company reports the following: Net income $235,000 Preferred dividends 9,400 Average stockholders' equity 1,910,569 Average common stockholders' equity 1,100,488 Determine
Common Stockholders' Profitability Analysis
A company reports the following:
| Net income | $235,000 |
| Preferred dividends | 9,400 |
| Average stockholders' equity | 1,910,569 |
| Average common stockholders' equity | 1,100,488 |
Determine (a) the the return on stockholders equity and (b) the return on common stockholders equity. If required, round your percentages to one decimal place.
| a. The rate earned on stockholders' equity | % |
| b. The rate earned on common stockholders' equity | % |
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Skills For Accounting And Auditing Research
Authors: Shelby Collins
2nd Edition
1618530747, 9781618530745
