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Needham Pharmaceuticals has a profit margin of 4% and an equity multiplier of 3.6. Its sales are $86 million and it has total assets of $53 million. What is its Return on Equity (ROE)? (Round your answer to nearest %) (1) 20% (2) 23% (3) 26% (4) 29%

Needham Pharmaceuticals has a profit margin of 4% and an equity multiplier of 3.6. Its sales are $86 million and it has total assets of $53 million. What is its Return on Equity (ROE)? (Round your answer to nearest %) (1) 20% (2) 23% (3) 26% (4) 29%

Intermediate Financial Management (MindTap Course List)
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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Needham pharmaceutical has a profit margin

Needham Pharmaceuticals has a profit margin of 4% and an equity multiplier of 3.6. Its sales are $86 million and it has total assets of $53 million. What is its Return on Equity (ROE)? (Round your answer to nearest %) (1) 20% (2) 23% (3) 26% (4) 29%
Transcribed Image Text:Needham Pharmaceuticals has a profit margin of 4% and an equity multiplier of 3.6. Its sales are $86 million and it has total assets of $53 million. What is its Return on Equity (ROE)? (Round your answer to nearest %) (1) 20% (2) 23% (3) 26% (4) 29%
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