John wick Company has total assets of $162,000. It has a profit margin of 6.5 percent on sales of $230,000. If the equity. multiplier is 2.5, what is its 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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Equity multiplier is 2.5

John wick Company has total assets of
$162,000. It has a profit margin of 6.5
percent on sales of $230,000. If the equity.
multiplier is 2.5, what is its ROE?
Transcribed Image Text:John wick Company has total assets of $162,000. It has a profit margin of 6.5 percent on sales of $230,000. If the equity. multiplier is 2.5, what is its ROE?
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