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  3. this particular company has an roe of 13.25%, but

This particular company has an ROE of 13.25%, but an ROA of 1.47%. It has 75.5%...

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Finance

This particular company has an ROE of 13.25%, but an ROA of1.47%. It has 75.5% of its assets in Long-term Investments, andmost of the rest is in Cash and Cash Equivalents. On theLiabilities side, Current Liabilities almost match Long-termInvestments. It has an Equity Multiplier of 9.15. This company isa/an:

Commercial Bank

Savings & Loan

Investment Bank

Insurance Company

Investment Company

Answer & Explanation Solved by verified expert
4.3 Ratings (539 Votes)
The ROE is 1325 but ROA is only 147 This indicates that assets are much higher than equity Equity multiplier total assets equity The equity multiplier of 915 indicates that    See Answer
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Transcribed Image Text

This particular company has an ROE of 13.25%, but an ROA of1.47%. It has 75.5% of its assets in Long-term Investments, andmost of the rest is in Cash and Cash Equivalents. On theLiabilities side, Current Liabilities almost match Long-termInvestments. It has an Equity Multiplier of 9.15. This company isa/an:Commercial BankSavings & LoanInvestment BankInsurance CompanyInvestment Company

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