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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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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