Which of the following statements is true? I. The formula for the return on equity is: Return on equity = Net income ÷ Average total stockholders' equity. II. When computing the return on equity, retained earnings should be excluded from the average total stockholders' equity.

Can you help me with #11-#13?

Earnings per share is a factor used to determine dividends. Select one: True False

Which of the following is correct? Select one: a. Unearned revenues are considered increases to stockholders' equity. b. Working capital is measured as current liabilities minus current assets. C. Unearned revenues will eventually become revenue earned. d. Working capital increases when a company pays the principal on a long-term note.

ratio of net income to equity is also known as: Total net equity ratio Profit margin Return on equity Net income ratio None of these are correct.

The stockholders' equity will be reduced by all of the following except a.dividends b.expenses c.revenues d.all of these

Stockholders' equity a.is shown on the income statement b.is usually equal to cash on hand c.includes paid-in capital and liabilities d.includes retained earnings and paid-in capital

The account which increases equity is known as? A. Debit Account B. Credit Account C. Revenue D. Treasury Stock

Which of the following is the definition of return on common equity?A. Net income / Average common equityB. Operating income / Average common equityC. Comprehensive income / Average common equityD. None of the above

Does the income statement 'tie in' to the balance sheet? If so does it increase or decrease retained earnings?