Hima Company has a debt-equity ratio of 0.56. Return on assets is 9.27 percent, and total equity is $923,000. a. What is the company's equity multiplier? b. What is the company's return on equity? c. What is the company's net income?
Hima Company has a debt-equity ratio of 0.56. Return on assets is 9.27 percent, and total equity is $923,000. a. What is the company's equity multiplier? b. What is the company's return on equity? c. What is the company's net income?
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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Financial accounting question 3-32
![Hima Company has a debt-equity ratio of 0.56. Return on
assets is 9.27 percent, and total equity is $923,000.
a. What is the company's equity multiplier?
b. What is the company's return on equity?
c. What is the company's net income?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fdb8aba4a-562c-4ed5-aa66-d6eee0143d33%2F2b2b6392-02b1-41b3-8ecd-9e9c72a41682%2F1i9h0df_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Hima Company has a debt-equity ratio of 0.56. Return on
assets is 9.27 percent, and total equity is $923,000.
a. What is the company's equity multiplier?
b. What is the company's return on equity?
c. What is the company's net income?
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