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The Net Income for the Year Ended Was $300,000

Question 103

Multiple Choice

The net income for the year ended was $300,000. The company has no preferred stock. Common stockholders' equity was $1,400,000 at the beginning of the year and $1,600,000 at the end of the year. The return on common stockholders' equity would be:


A) 18.75%.
B) 20.00%.
C) 21.43%.
D) 87.50%.

Correct Answer:

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