Multiple Choice
The net income of a company for the year ended was $500,000. The company has no preferred stock. Common stockholders' equity was $1,000,000 at the beginning of the year and $2,000,000 at the end of the year. Calculate the return on common stockholders' equity.
A) 18.75%
B) 20.00%
C) 21.43%
D) 33.33%
Correct Answer:
Verified
Correct Answer:
Verified
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