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Identify the ratio that cannot be computed given the

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30.Identify the ratio thatcannotbe computed given the following information for a firm: Diluted earnings pershare, $3.57; market price of the firm’s stock, $47.75; average common equity, $879,550; net income,$99,772; average total capital, $625,740; aftertax interest expense, $14,885.a.price-earningsb.market-to-bookc.return on common equityd.return on capital
(difficult, L.O. 2, Section 2, b)31.A firm has the following growth rates for the last four years: 2000, 39.8%; 2001, 34.2%; 2002, 28.4%;2003, 29.1%. From a standpoint of trend analysis, what conclusion might an analyst reach regarding thefirm’s revenue growth?
32.A firm has the following operating income rates for the last four years: 2000, 9.0%; 2001, 8.9%; 2002,9.1%; 2003, 8.8%. From a standpoint of trend analysis, what conclusion might an analyst reach regardingthe firm’s revenue growth?4
33.There are two key ratios that measure operating profitability. The numerator for the __________ ratio usesincome while the __________ ratio uses revenues less cost of goods sold in its computation.
(moderate, L.O. 2, Section 2, b)34.The analyst must exercise caution when using ratios as part of the analysis of a firm. The fact that ratiosoften vary across industries is an example of what is called:a.an accounting method discrepancyb.an industry and business differencec.a business environment changed.an ambiguous ratio definition
(moderate, L.O. 5, Section 4, b)

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