Company A has a return on assets of 8% but a return on common shareholders' equity of
Question:
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 55% (9 reviews)
Two companies can have the same return on assets but a different return on common shareholders equit...View the full answer
Answered By
Deborah Joseph
My experience has a tutor has helped me with learning and relearning. You learn everyday actually and there are changes that are made to the curriculum every time so being a tutor has helped in keeping me updated about the present curriculum and all.
I have also been able to help over 100 students achieve better grades particularly in the categories of Math and Biology both in their internal examinations and external examinations.
5.00+
2+ Reviews
10+ Question Solved
Related Book For
Financial Accounting Tools for Business Decision Making
ISBN: 978-1119368458
7th Canadian edition
Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso, Barbara Trenholm, Wayne Irvine
Question Posted:
Related Video
The Dupont analysis is an expanded return on equity formula, calculated by multiplying the net profit margin by the asset turnover by the equity multiplier. The DuPont analysis is also known as the DuPont identity or DuPont model.This Video will guide on how to calculate return on Equity and estimate profitability of shareholders using DuPont Analysis.
Students also viewed these Cost Accounting questions
-
A company has a return on assets of 14% and a return on common stockholders equity of 11%. The president of the company has asked you to explain the reason for this difference. What causes the...
-
Krause Corp. has a return on assets of 12%. It plans to issue bonds at 8% and use the cash to repurchase stock. What effect will this have on its debt to assets ratio and on its return on common...
-
Sandberg Company has $1,000,000 in assets and $1,000,000 in stockholders equity, with 40,000 shares outstanding the entire year. It has a return on assets of 10%. In the past year, it had net income...
-
In Exercises find the second derivative of the function. f(x) = 8 (x - 2)
-
Gentry Corporation had the following stockholders equity accounts on January 1, 2010: Common Stock ($1 par) $400,000, Paid-in Capital in Excess of Par Value $500,000, and Retained Earnings $100,000....
-
A composition teacher wishes to see whether a new grammar program will reduce the number of grammatical errors her students make when writing a two-page essay. The data are shown here. At = 0.025,...
-
Figure 2.86 shows a scatterplot illustrating three different variables from the dataset HappyPlanetIndex. The variable Happiness is a measure of the well-being of a country, with larger numbers...
-
On January 1, 2010, Allan acquires 15 percent of Bellevue's outstanding common stock for $62,000. Allan classifies the investment as an available-for-sale security and records any unrealized holding...
-
Image transcription text Problem 1: Consider the figure below. A block of weight "W? slides on a horizontal surface with a coefficient of Coulomb friction =f". It is attached on its left face to a...
-
Read the case study and answer the question below with a one page response. What does a SWOT analysis reveal about the overall attractiveness of Under Armours situation? Founded in 1996 by former...
-
In the calculation of basic earnings per share, why is the weighted average number of common shares used instead of the number of common shares at the end of the year?
-
The market capitalization of Dollarama Inc. was $11.6 billion at the end of its fiscal year in 2014 and $7.9 billion at the end of 2015. Explain what "market capitalization" means and describe the...
-
True or false: The percentage resolution of a DAC depends only on the number of bits.
-
Prepare an Income Statement for the year ending 31 December 2022. Prepare a Balance Sheet as at 31 December 2022. The balance sheet of Torrent and Co at the end of the first of trading is as...
-
a. The traveling salesman problem (TSP) is to find the shortest tour through a given set of n cities that visits each city exactly once before returning to the city where it started. Solve the...
-
John MacLean plans to begin his consulting business as a proprietary company (John Maclean Pty Ltd) on 1 January 2022. He has provided projected data for the first 36 months of operations. John...
-
Find the z-transform for each of the following sequences: (a) 4u(n-4) (b) 2(-0.8)"u(n) (c) 4e-2nu(n) (d) 4(0.8)" cos(0.1n)u(n) (e) e-2(n-3) sin(0.27(n 3))u(n 3)
-
1. It is easy to show that in fcc lattice four basal atoms: (000),(0, , ), (,0, ), (, ,0) form regular tetrahedron with the center at ( , ). It is called the tetrahedral void. The lattice cell...
-
Sanchez, Inc. reports the following liabilities (in thousands) on its December 31, 2020, balance sheet and notes to the financial statements. Instructions Prepare the liabilities section of Sanchez's...
-
Show that gj concave AHUCQ Abadie For nonnegative variables, we have the following corollary.
-
An aging analysis of Yamoto Limited's accounts receivable at December 31, 2012 and 2011, showed the following: 1. At December 31, 2011, the unadjusted balance in Allowance for Doubtful Accounts was a...
-
On November 1, 2012, Sokos Company accepted a three-month, 6%, $40,000 note from a customer in settlement of the customer's account. Interest is due on the first day of each month, starting December...
-
Canadian Tire Corporation, Limited reports the following asset accounts (in millions) at December 29, 2010: Instructions Prepare the assets section of Canadian Tire's statement of financial position....
-
Briefly define TinyOS and explain its goals as an embedded operating system.?
-
Consider the graph shown on the right. Find the strongly connected components of the graph. Whenever you use DFS and there is a choice of nodes to explore, always pick the one that is alphabetically...
-
After viewing the previous video, "Types of Operating Systems As Fast As Possible", explain the difference between embedded operating systems and desktop operating systems. (300-yep, you guessed it)...
Study smarter with the SolutionInn App