Question: You may need a calculator to answer this question. Consider the following information for a business: Current assets Bank 75,000 Accounts receivable 20,000 Inventory 45,000

You may need a calculator to answer this question. Consider the following information for a business:

Current assets

Bank

75,000

Accounts receivable

20,000

Inventory

45,000

Non-current assets

Property, plant, and equipment

100,000

Which amount will be used when calculating return on total assets?

Select one:

a. 240,000

b. 175,000

c. 100,000

d. 140,000

The total equity amount used when calculating return on equity includes all equity of the business, such as share capital and retained earnings.

Select one:

True

False

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