Question
Leveraged Corporation has a total debt to assets ratio of 60 percent. Its net income last year was $20,000. If the total debt was $160,000,
Leveraged Corporation has a total debt to assets ratio of 60 percent. Its net income last year was $20,000. If the total debt was $160,000, what was the return on equity?
|
| A. | 31.25% |
|
| B. | 12.50% |
|
| C. | 46.88% |
|
| D. | 20.00% |
|
| E. | 7.50% |
|
| F. | 8.33% |
|
| G. | 11.25% |
|
| H. | 18.75% |
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Computerized Accounting Using QuickBooks Pro 2020
Authors: Alvin A. Arens, D. Dewey Ward, Carol J. Borsum
6th Edition
0912503793, 9780912503790
