ROE = Net Income/Equity Funds
When Total assets are constant and net income remains same, ROE
will DECREASE
As Equity will increase, denominator will increase
Holding total assets constant, will the ROE increase or decrease when the use of equity increases?
When debt increases holding assets constant, which of the following occur? Stockholders' Equity declines and interest expense increases Stockholders' Equity increases and interest expense declines Cannot be determined from the information provided Stockholders' Equity declines and interest expense declines Stockholders' Equity increases and interest expense increases
+ When the owner withdraws cash for personal use, Z 22 WIE Multiple Choice assets decrease and expenses increase. assets decrease and on er's equity increases. assets decrease and owner's equity decreases. owner's equity decreases and revenue decreases.
If supplies are purchased for cash: Multiple Choice total assets will decrease. total assets will increase. stockholders' equity will increase. total assets will remain the same.
An increase in accumulated depreciation increases total assets decreases total assets decreases the current ratio increases the quick ratio Question 8 2 pts Depreciation is an expense that does not use cash during the period in which it is recognized When and win the cathotto associated with the asset occur? When the asset is retired There is no cash outflow associated with depreciation or the asset! When the replacement cost of the asset increases When the asset was acquired
Tyler paid $3,700 on account to the company from which equipment was purchased on credit. This transaction would increase assets and increase owner's equity. decrease assets and decrease liabilities. increase assets and increase liabilities. increase one asset and decrease another asset. An example of an expense is withdrawals by the owner. supplies consumed. prepaid insurance. investments. Asset and expense accounts normally have credit balances. large balances. debit balances. negative balances. Accounts that affect owner's equity are expenses, capital, and revenue....
Purchased office supplies on account. assets increase; liabilities increase assets decrease; liabilities decrease assets increase; owner's equity increase assets increase; owner's equity decrease Indicate the effect of the following transaction on the elements of the accounting equation. Paid creditors, on account assets increase; liabilities increase assets decrease; liabilities decrease assets decrease; liabilities increase assets decrease; owner's equity increase Question 9 3 pts List of the entire group of accounts maintained by a business. general journal chart of accounts T-account accounting...
If during the year total assets increase by $74,000 and total liabilities decrease by $15,500, by how much did owner's equity increase/decrease? Multiple Choice O $89.500 decrease O $58,500 decrease $89,500 increase O $74.000 increase < Prey 6 of 30 # Next > are to search 9 e E - Fa Hj cv | BN
Holding demand constant, a decrease in supply will typically ___________ a. decrease equilibrium price but leave equilibrium quantity unchanged b. decrease equilibrium price and increase in equilibrium quantity c. increase both equilibrium price & quantity d. increase equilibrium price and decrease equilibrium quantity e. decrease both equilibrium price & quantity Holding supply constant, a decrease in demand will result in a(n) ___________ a. increase in equilibrium price & a decrease in equilibrium quantity b. increase in supply c, increase in...
If expenses are paid in cash, then liabilities will decrease. assets will increase. assets will decrease. stockholders' equity will increase. Save for Later
4 pts Question 13 If bond demand increases, yields will increase. remain constant. decrease. It depends... None of the above. 4 pts Question 13 If bond demand increases, yields will increase. remain constant. decrease. It depends... None of the above.