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During the year, Squid Roe Inc.'s revenues were $200,000 and its net income was $60,000. It had not preferred shares, and its stockholders' equity and total assets were $380,000 and $780,000 at the beginning of the year and $420,000 and $900,000 at year-end, respectively. ROE (rounded to the nearest tenth of a percent) equals ______. Multiple choice question. 14.3% 50.0% 6.7% 15.0% 7.1%

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abiolataiwo2015

Based on the information given the return on equity (ROE) is 15.0%.

Using this formula

Return on equity (ROE)=Net income/ Average Stockholders' equity

Let plug in the formula

Return on equity (ROE)=$60,000/[($380,000+$420,000)/2]

Return on equity (ROE)=$60,000/($800,000/2)

Return on equity (ROE)=$60,0000/$400,000

Return on equity (ROE)=0.15×100

Return on equity (ROE)=15%

Inconclusion the return on equity (ROE) is 15.0%.

Learn more about return on equity (ROE) here:https://brainly.com/question/25648334

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