A corporation has a total debt-equity ratio of 70%, sales of $1,200,000, net income of $42,000, and total liabilities of $280,000. What is the return on equity?
A corporation has a total debt-equity ratio of 70%, sales of $1,200,000, net income of $42,000, and total liabilities of $280,000. What is the return on equity?
Chapter3: Analysis Of Financial Statements
Section: Chapter Questions
Problem 8P
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Transcribed Image Text:A corporation has a total debt-equity ratio of 70%,
sales of $1,200,000, net income of $42,000, and total
liabilities of $280,000. What is the return on equity?
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