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What Does Return on Equity Measure

Question 103

Multiple Choice

What does return on equity measure?


A) The amount of pre-tax profit earned for each dollar invested
B) The amount of profit earned for each share of stock
C) The amount of profit earned for each dollar of previous profit retained in the business
D) The amount of profit earned for each dollar invested
E) The amount of pre-tax profit earned for each share of stock

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