Answer:
Roman philosopher Seneca once said, “Luck is what happens when preparation meets opportunity.”
Explanation:
Answer:
13.44%
Explanation:
Debt to total assets = Total Debt / Total Assets
45% = Total debt / $230,000
Total Debt = $230,000 x 45% = $103,500
As we know
Assets = debt + Equity
$230,000 = $103,500 + Equity
Equity = $230,000 - $103,500 = $126,500
Return on Equity is the measure of financial performance which can be calculated by dividing net income for the year by total shareholder's equity.
Return on equity = Net income for the year / Shareholders equity
ROE = $17,000 / $126,500 = 0.1344 = 13.44%
Answer: The correct answer is "D. They earn identical rewards per unit of systematic risk.".
Explanation: If you are comparing 3 values and by calculating, find that they all have the same Treynor ratio means that they earn identical rewards per unit of systematic risk.
Chief operating officers (COO) and chief financial officers (CFO) must verify in writing the accuracy of their corporation's financial statements.
Answer: D)
