Question: Question 2 1 ( 1 point ) Return on equity is a ratio that: cannot be calculated if the company has preferred shares in addition

Question

21 (1

point

)

Return on equity is a ratio that:

cannot be calculated if the company has preferred shares in addition to common shares

is calculated by dividing net income plus preferred dividends by average common shareholders' equity and shows the relationship between net income available for common shareholders and average common shareholders' equity

shows the relationship between net income available for common shareholders and average common shareholders' equity

is calculated by dividing net income plus preferred dividends by average common shareholders' equity

Question 2 1 ( 1 point ) Return on equity is a

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