A corporation has annual sales of 18 million, total assets of 4 ...

[james]

A corporation has annual sales of 18 million, total assets of 4 million, a debt ratio of 40,
  depreciation expense of 200,000, and a tax rate of 40. The corporation's total stockholders' equity
  is equal to
 
  A) 2,800,000. B) 2,400,000. C) 1,800,000. D) 5,600,000.

Question 2

In relation to the balance sheet, an income statement shows
 
  A)
 
  net worth, not the period's savings or dissavings.
  B)
 
  the period's savings or dissavings, not net worth.
  C)
 
  activities at a point in time, not over a period of time.
  D)
 
  financial position, not financial performance.

[lorealeza]

Answer to Question 1

B

Answer to Question 2

B