Solved

The Return on Equity Ratio Is Calculated As

Question 30

Multiple Choice

The return on equity ratio is calculated as:


A) dividends paid divided by the average book value of stockholders' equity.
B) net income divided by the average number of outstanding common shares.
C) dividends divided by the average number of total shares.
D) net income divided by average stockholders' equity. Return on equity = Net income/Average stockholders' equity.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions