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The Return on Common Stockholders' Equity Is Computed by Dividing

Question 152

Multiple Choice

The return on common stockholders' equity is computed by dividing


A) net income by ending common stockholders' equity.
B) net income by average common stockholders' equity.
C) net income less preferred dividends by ending common stockholders' equity.
D) net income less preferred dividends by average common stockholders' equity.

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