Computing return on equity
1. Firm's net income for year was $200,000. Average assets totaled $1.5 million, and average liabilities totaled $0.3 million. Return on equity was:
A. 13.3% B. 16.7% C. 10% D. 20%
2. Write down two reasons why company would not declare dividends
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Firm's net income for year was $200,000. Average assets totaled $1.5 million, and average liabilities totaled $0.3 million. Return on equity was?
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Harpoon, is a United State multinational corporation that ships small appliances to its subsidiary in Austria. The marginal profits tax rate in the U.S. is 34%, and the marginal profits tax rate in Austria is 55%.
Accounting concept/principle being applied when adjustment is made is generally matching revenue and expense.
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