Last year, RedGear Ltd. reported a return on assets (ROA) of 7.5%, a profit margin of 12.5%, and total sales of $40 million. Calculate the company's total assets. (Enter your answer in millions.)

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 12P: The Kretovich Company had a quick ratio of 1.4, a current ratio of 3.0, a days’ sales outstanding of...
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Last year, RedGear Ltd. reported a return on
assets (ROA) of 7.5%, a profit margin of 12.5%,
and total sales of $40 million. Calculate the
company's total assets. (Enter your answer in
millions.)
Transcribed Image Text:Last year, RedGear Ltd. reported a return on assets (ROA) of 7.5%, a profit margin of 12.5%, and total sales of $40 million. Calculate the company's total assets. (Enter your answer in millions.)
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