The following information pertains to Marsh Company. Assume that all balance sheet amounts represent average balance figures. $$\begin{array} { l r }
\text { Total asset } & \$ 400,000 \
\text { Stockholders' equity-common } & 200,000 \
\text { Total stockholders' equity } & 280,000 \
\text { Sales } & 120,000 \
\text { Net income } & 24,000 \
\text { Number of shares of common stock } & 8,000 \
\text { Common dividends } & 9,000 \
\text { Preferred dividends } & 6,000
\end{array}$$ What is Marsh's return on common stockholders' equity?
A) 12%.
B) 9%.
C) 7.5%.
D) 6.4%.

Question

The following information pertains to Marsh Company. Assume that all balance sheet amounts represent average balance figures. $$\begin{array} { l r } 
\text { Total asset } & \$ 400,000 \
\text { Stockholders' equity-common } & 200,000 \
\text { Total stockholders' equity } & 280,000 \
\text { Sales } & 120,000 \
\text { Net income } & 24,000 \
\text { Number of shares of common stock } & 8,000 \
\text { Common dividends } & 9,000 \
\text { Preferred dividends } & 6,000
\end{array}$$ What is Marsh's return on common stockholders' equity?
A) 12%.
B) 9%.
C) 7.5%.
D) 6.4%.

Quizplus · Accepted Answer

The Answer of The following information pertains to Marsh Company. Assume that all balance sheet amounts represent average balance figures. $$\begin{array} { l r } 
\text { Total asset } & \$ 400,000 \
\text { Stockholders' equity-common } & 200,000 \
\text { Total stockholders' equity } & 280,000 \
\text { Sales } & 120,000 \
\text { Net income } & 24,000 \
\text { Number of shares of common stock } & 8,000 \
\text { Common dividends } & 9,000 \
\text { Preferred dividends } & 6,000
\end{array}$$ What is Marsh's return on common stockholders' equity?
A) 12%.
B) 9%.
C) 7.5%.
D) 6.4%.

The Following Information Pertains to Marsh Company What Is Marsh's Return on Common Stockholders' Equity? A) 12

The Following Information Pertains to Marsh Company What Is Marsh's Return on Common Stockholders' Equity?
A) 12