Last year Vaughn Corp. had sales of $315,000 and a net income of $17,832, and its year-end assets were $210,000. The firm’s total-debt-to-total-assets ratio was 22.5%. Based on DuPont equation, what was Vaughn’s ROE?

Q: Jones Inc. has sales of $1,000,000, total assets of $2,500,000, and a profit margin of 3 percent.…

A: Return on equity measures the return generated by common or equity shareholders from their…

Q: Last year Harrington Inc. had sales of $325,000 and a net income of $19,000, and its year-end assets…

A: (1) Net profit margin = (Net income / Sales ) x 100=>Net profit margin…

Q: Last year Ross Inc. had sales of $330,000 and a net income of $20,000, and its year-end assets were…

A: GivenTotal assets = 250000Debt to Assets ratio = 40.00%Total Equity = Total Assets * ( 1 -…

Q: Red Snail Satellite Company has a total asset turnover ratio of 3.50x, net annual sales of $25…

A: The objective of the question is to calculate the debt ratio and times-interest-earned ratio for Red…

Q: Y3K Inc. has sales of $5783, total assets of $2604, and a debt-equity ratio of .75. If its Return on…

A: Profit margin = Net Income = Return on equity * Total equity

Q: Ajax Corp's sales last year were $624,000, its operating costs were $427,600, and its interest…

A: Sales = $624,000Operating Costs = $427,600Interest Charges = $13,600

Q: A firm has the following accounts; sales = $36,700,000, total debt = $9,870,000. The firm has the…

A: ROA refers to return on assets. It is a metric in ratio analysis to evaluate the efficiency of total…

Q: For the last fiscal year, your firm reported a return on assets (ROA) of 6.0 percent and a return on…

A: Earning before interest ad tax (EBIT)defines the profitability and operating efficiency of the firm.…

Q: Help with this Question

A: To find the company's net income, we can use the relationship between Return on Equity (ROE), net…

Q: Ans..

A: Givensales = 14,000,000total assets = 12,000,000total debt = 6,700,000profit margin = 7%   A) Profit…

Q: Naomi Nagata is analyzing Gateway Tours and notes the company has a net income of $54 million, total…

A: Return on assets the profitability ratio that measures how well the company is able to utilize it's…

Q: Wims, Inc., has sales of $18.3 million, total assets of $13.3 million and total debt of $4.1…

A: Solution:- Net income means the amount the company is earning its profits ie. Revenues – total…

Q: the Allen Corporation had sales of $ 69 million, total assets of $ 48 million, and total liabilities…

A: The capacity of a business to make operational profit from its assets is gauged by the operational…

Q: Blue Co. is funded by both debt and equity with a total debt to total asset ratio of 40%. If the…

A: Debt to total assets  = 40% That means total assets = 100% Total assets = Equity + Debt 100% =…

Q: Orono Corp.'s sales last year were $585,000, its operating costs were $362,500, and its interest…

A: The times interest earned (TIE) ratio measures a company's ability to meet its interest payments on…

Q: Zoe's Dog Toys Inc. reported a debt to quity ratio of .70 times st thr end of 2008. If the firm's…

A: Debt to equity ratio is that which shown the relationship between the equity and debt portion in…

Q: A company's after-tax cost of debt is 5.86 %, and its cost of retained earnings is 13.64%. If the…

A: > Given data:>After tax cost of debt = 5.86%> Cost of equity = 13.64%> Weight of equity…

Q: Jackson Corporation has a profit margin of 9 percent, total asset turnover of equity ratio? Note: Do…

A: Profit margin = 9%Total asset turnover = 1.11Return on Equity (ROE) = 14.35%

Q: The Lawrence Company has a ratio of long-term debt to long-term debt plus equity of .34 and a…

A: Profit Margin = Net Profit/Sales So Net Profit = Sales * Profit Margin    ROE = Net Profit/Equity So…

Q: Rapterzz Inc. has a profit margin of 8.30%, total asset turnover of 2.00, and ROE of 18.24%. What is…

A: Formula: Equity multiplier = 1 + Debt equity ratio Debt equity ratio = Equity multiplier - 1

Q: Lamar , Inc. has sales of $8500, total assets of $2500, and a debt to equity ratio of 0.8, if its…

A: Net income refers to the income or amount which is earned by the enterprise by rendering services or…

Q: Green Fire Company has a debt-equity ratio of 1.7. Return on assets is 14.25 percent, and total…

A: Here, Debt Equity Ratio is 1.7 Return on Assets is 14.25% Total Equity is $350,000

Q: Last year Vaughn Corp. had sales of $315,000 and a net income of $17,832, and its year-end assets…

A: Du-Pont: A Du-pont analysis is the equation which calculates the return on equity by multiplying net…

Q: Jackson Corporation has a profit margin of 11 percent, total asset turnover of 1.09, and ROE of…

A: Profit margin = 11%Total asset turnover = 1.09Return on Equity (ROE) = 14.37%

Q: Las year Justine Corp. had sales of P315,000 and a net income of P17,382, and its year-end assets…

A: First we will figure the obligation according to underneath:   Obligation to add up to resource…

Q: Dearborn Supplies has total sales of $206 ​million, assets of $94 ​million, a return on equity of…

A: Net income = Profit margin * Sales = 0.078 * $206 million = $16.068 million Equity = Net income /…

Q: Last year Harrington Inc. had sales of $325,000 and a net income of $19,000, and its year- end…

A: Total assets turnover ratio = Sales / Total AssetsTotal assets turnover ratio = $325,000 /…

Q: National Co. had P24,000,000 in sales last year. The company's net income was P500,000, its total…

A: The ratio analysis helps to analyse the financial statements of the business with assets and…

Q: Jack Corp. has a profit margin of 4.0 percent, total asset turnover of 2.1, and ROE of 16.42…

A: Return on equity = Profit margin * Total asset turnover ratio * Equity multiplier 16.42% = 4%*2.1*…

Q: Last year Urban Forests Corp. had $507,500 of assets, $1,905,700 of sales, $410,200 of net income,…

A: Total Assets = $507,500Sales = $1,905,700Net Income = $410,200Debt-to-total assets ratio = 5%We need…

Q: Orono Corp.'s sales last year were $575,000, its operating costs were $362,500, and its interest…

A: As per formula Times interest earned (TIE) ratio = (Sales-Operating cost)/Interest expenses   Where…

Q: Last year Justine Corp. had sales of P315,000 and a net income of P17,382 and its year-end assets…

A: Du Pont analysis is a technique that is used to decompose the different drivers of the return of…

Q: Purple Panda Products Inc. has a total asset turnover ratio of 3.50x, net annual sales of $25…

A: The objective of the question is to calculate the debt management ratios for Purple Panda Products…

Q: Last year, Harrington Inc. had sales of $325,000 and a net income of $19,000.  Its year-end assets…

A: Total calculate the return on equity we will use the below formula   ROE = Net income/Equity Where…

Q: A company's sales last year were $615,000 and its net income was $45,800. It has $465,000 in assets…

A: Ratio analysis means where the various ratio can be found out with different name and meaning and…

Q: 5. Shelton, Inc., has sales of $14 million, total assets of $12 million, and total debt of $6.7…

A: Step 1: Introduction to Profit margins and return:The profit margins and returns are a set of ratios…

Q: Here and Gone, Inc., has sales of $17,680,797, total assets of $8,472,354, and total debt of…

A: The ROE is a measure of the financial performance of the entity. Investor generally uses this to…

Q: Y3K, Incorporated, has sales of $6,389, total assets of $3,005, and a debt-equity ratio of 1.60. If…

A: Information Provided: Sales = $6,389 Total assets = $3,005 Debt-equity ratio = 1.60 Return on…

Q: 40. Joel Embi, Inc. has an ROA (return on assets) of 15.2 percent, total assets of $4,500,000 and a…

A: Note:  We’ll answer the first question since the exact one wasn’t specified. Please submit a new…

Financial Ratios

A Ratio refers to a figure calculated as a reference to the relationship of two or more numbers and can be expressed as a fraction, proportion, percentage, or the number of times. When the number is determined by taking two accounting numbers derived from the financial statements, it is termed as the accounting ratio.

Return on Equity

The Return on Equity (RoE) is a measure of the profitability of a business concerning the funds by its stockholders/shareholders. ROE is a metric used generally to determine how well the company utilizes its funds provided by the equity shareholders.