A company has a total debt ratio of 45%, total debt of $400,000, and net income of $50,000. What is the company's return on equity (ROE)?
A company has a total debt ratio of 45%, total debt of $400,000, and net income of $50,000. What is the company's return on equity (ROE)?
Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter7: Analysis Of Financial Statements
Section: Chapter Questions
Problem 6P
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Transcribed Image Text:A company has a total debt ratio of 45%, total debt of $400,000,
and net income of $50,000. What is the company's return on
equity (ROE)?
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