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The following data is from the last two financial statements of Big W Corporation, whose effective tax rate is 35%. 2019 2018 Balance Sheet: Total
The following data is from the last two financial statements of Big W Corporation, whose effective tax rate is 35%.
2019 2018
Balance Sheet:
Total Assets $32,000 $26,500
Common Stock 12,000 6,000
Retained Earnings 4,800 3,500
Income Statement:
Depreciation Expense 2,000
Interest Expense 3,000
Income Tax Exp 9,000
Net Income 2,000
What is Big W Corporation's return on common shareholders' equity?
A. | 15.2% | |
B. | 13.5% | |
C. | 10.0% | |
D. | 11.9% |
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