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svet-max [94.6K]

3 years ago

8

A firm has net income of $197,400, a return on assets of 8.4 percent, and a debt-equity ratio of .72. What is the return on equi

ty?
a. 11.67 percent
b. 18.98 percent
c. 14.45 percent
d. 16.22 percent
e. 15.06 percent

1 answer:

Karolina [17]3 years ago

8 0

Answer:

C 14.45

Explanation:

Return on equity = .084 ×(1 + .72) = .1445, or 14.45 percent

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balandron [24]

Answer:

Explanation:

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3 years ago

Your parents will retire in 29 years. They currently have $200,000 saved, and they think they will need $2,400,000 at retirement

zhannawk [14.2K]

Answer:

8.95%

Explanation:

Data provided in the question:

Time, n = 29 years

Principle amount = $200,000

Future value = $2,400,000

Now,

Using the compounding formula

Future value = Principle × [ 1 + r ]ⁿ

here,

r is the interest rate

Thus,

$2,400,000 = $200,000 × [ 1 + r ]²⁹

or

[ 1 + r ]²⁹ = 12

taking the natural log both the sides, we have

29 × ln(1 + r) = ln(12)

or

ln(1 + r) = 0.08569

or

1 + r = $e^{0.08569}$

or

1 + r = 1.0895

or

r = 0.0895

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3 0

3 years ago

Many of the subdivisions of the cpt in which cardiovascular codes are found contain specific notes and guidelines. additional pa

AnnyKZ [126]

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3 years ago

Which of the following is a common finding in looking at the statement of cash flows of a declining company?

mario62 [17]

Answer:

These are the options for the question:

a) A negative cash flow from operating activities

b) A negative cash flow from investing activities

c) A significant positive cash flow from financing activities

And this is the correct answer:

a) A negative cash flow from operating activities

Explanation:

Declining companies are characterized by a lack of revenue from regular operating activities.

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5 0

3 years ago

You purchased 5,400 shares in the New Pacific Growth Fund on January 2, 2016, at an offering price of $63.90 per share. The fron

Alexxandr [17]

Answer:

The total return from this investment is -2.35%

Explanation:

According to the give data You invested = 5,400 x $63.90 = $345,060

Because of the front-load, your effective investment = $345,060 x (1 - 5%) = $327,807

Value of assets increases by 6% in 2016, hence, your investment value = $327,807 x (1 + 6%) = $347,475

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Now, because you withdrew within a year, back-end load of 2% is applicable as well.

Hence, your net withdrawal =$343,826 x (1 - 2%) = $336,949

Hence, total return = $336,949 / $345,060 - 1 = -2.35%

The total return from this investment is -2.35%

4 0

3 years ago