Problem 3-8 Profit Margin and Debt Ratio Assume you are given the following relationships for the Haslam Corporation: Sales/total assets 1.7 Return on assets (ROA) 2% Return on equity (ROE) 6% Calculate Haslam's profit margin. Do not round intermediate calculations. Round your answer to two decimal places. % Calculate Haslam's liabilities-to-assets ratio. Do not round intermediate calculations. Round your answer to two decimal places. % Suppose half of Haslam's liabilities are in the form of debt. Calculate the debt-to-assets ratio. Do not round intermediate calculations. Round your answer to two decimal places.
Problem 3-8 Profit Margin and Debt Ratio Assume you are given the following relationships for the Haslam Corporation: Sales/total assets 1.7 Return on assets (ROA) 2% Return on equity (ROE) 6% Calculate Haslam's profit margin. Do not round intermediate calculations. Round your answer to two decimal places. % Calculate Haslam's liabilities-to-assets ratio. Do not round intermediate calculations. Round your answer to two decimal places. % Suppose half of Haslam's liabilities are in the form of debt. Calculate the debt-to-assets ratio. Do not round intermediate calculations. Round your answer to two decimal places.
Financial Accounting: The Impact on Decision Makers
10th Edition
ISBN:9781305654174
Author:Gary A. Porter, Curtis L. Norton
Publisher:Gary A. Porter, Curtis L. Norton
Chapter13: Financial Statement Analysis
Section: Chapter Questions
Problem 13.1P
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Problem 3-8
Profit Margin and Debt Ratio
Assume you are given the following relationships for the Haslam Corporation:
| Sales/total assets | 1.7 |
| 2% | |
| 6% |
- Calculate Haslam's profit margin. Do not round intermediate calculations. Round your answer to two decimal places.
%
- Calculate Haslam's liabilities-to-assets ratio. Do not round intermediate calculations. Round your answer to two decimal places.
%
- Suppose half of Haslam's liabilities are in the form of debt. Calculate the debt-to-assets ratio. Do not round intermediate calculations. Round your answer to two decimal places.
%
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