Rate of return on total assets is: (net income minus preferred stock dividends divided by average common stockholder's equity).

Name: Rate of return on total assets is: (net income minus preferred stock dividends divided by average common stockholder's equity).
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Rate of return on total assets is (net income plus interest expense divided by average total assets), not (net income minus preferred stock dividends divided by average common stockholder's equity).

Rate of Return on Total Assets Is: (Net Income Minus