The return on equity for the firm is 18.75%.
<h3>Return on equity</h3>
Return on equity=Return on assets +[ (Debt/Equity ratio)×(Return on assets-Return on debt)]
Let plug in the formula
Return on equity=.15+ [(.75)× (.15-.10)]
Return on assets=.15+ (.75×0.05)
Return on assets=.15+0.0375
Return on equity=0.1875×100
Return on equity=18.75%
Therefore the return on equity ratio is 18.75%.
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Answer : A it is decreased by $70,000
Federal reserve sells $70,000 in treasury bonds to a bank.
Removing cash decreases the money supply . Money supply decreases when exchanging for bonds. That is the immediate effect on money supply.
Federal reserve sells $70,000 . so money supply is decreased by $70,000
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Answer:
12/25, 0.25, -6
Step-by-step explanation:
-6 is lower than 0
12/25 is higher than .25 because .25 is 1/4.