Looking for reliable answers? Westonci.ca is the ultimate Q&A platform where experts share their knowledge on various topics. Get precise and detailed answers to your questions from a knowledgeable community of experts on our Q&A platform. Explore comprehensive solutions to your questions from knowledgeable professionals across various fields on our platform.
Sagot :
The return on equity will be 14.45 percent
Return on equity = .084 ×(1 + .72) = .1445, or 14.45 percent
Return on equity:
The ratio of a company's annual return (net income) to the value of all of its shareholders' equity, known as return on equity (ROE), is stated as a percentage (e.g., 12 percent ).
Because it combines the income statement and the balance sheet, where net income or profit is compared to shareholders' equity, return on equity is a two-part ratio in its derivation. The figure displays the firm's capacity to convert equity investments into profits and is the total return on equity capital. In other words, it calculates the profits for every dollar of shareholders' equity.
Know more about equity here:
https://brainly.com/question/13278063
#SPJ4
We hope you found this helpful. Feel free to come back anytime for more accurate answers and updated information. Thank you for your visit. We're committed to providing you with the best information available. Return anytime for more. Get the answers you need at Westonci.ca. Stay informed with our latest expert advice.
