An increase in which of the following will increase the return on equity, all else constant? I. sales II. net income III. depreciation IV. total equity a) I only b) I and II only c) II and III only d) I, II, and IV only

College Accounting, Chapters 1-27
23rd Edition
ISBN:9781337794756
Author:HEINTZ, James A.
Publisher:HEINTZ, James A.
Chapter24: Analysis Of Financial Statements
Section: Chapter Questions
Problem 5MC
icon
Related questions
Question
An increase in which of the following will increase the return on equity, all else constant?

I. sales
II. net income
III. depreciation
IV. total equity

a) I only
b) I and II only
c) II and III only
d) I, II, and IV only
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps

Blurred answer
Knowledge Booster
Ratio Analysis
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
College Accounting, Chapters 1-27
College Accounting, Chapters 1-27
Accounting
ISBN:
9781337794756
Author:
HEINTZ, James A.
Publisher:
Cengage Learning,