Profit margin multiply assets turnover multiply equity multiplier is used to calculate
A. return on turnover
B. return on stock
C. return on assets
D. return on equity
Answer: Option D
Solution(By Examveda Team)
Profit margin multiply assets turnover multiply equity multiplier is used to calculate return on equity. Return on equity (ROE) is a measure of financial performance calculated by dividing net income by shareholders' equity.Investment is the _______________.
A. net additions made to the nation’s capital stocks
B. person’s commitment to buy a flat or house
C. employment of funds on assets to earn returns
D. employment of funds on goods and services that are used in production process
Financial Management is mainly concerned with ______________.
A. All aspects of acquiring and utilizing financial resources for firms activities
B. Arrangement of funds
C. Efficient Management of every business
D. Profit maximization
The primary goal of the financial management is ____________.
A. to maximize the return
B. to minimize the risk
C. to maximize the wealth of owners
D. to maximize profit
In his traditional role the finance manager is responsible for ___________.
A. proper utilisation of funds
B. arrangement of financial resources
C. acquiring capital assets of the organization
D. efficient management of capital
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