QUESTION:CATHERINE'S CONSULTING HAS NET INCOMEOF $4,400 AND TOTAL EQUITY OF $39,450. THEDEBT-EQUITY RATIO IS 1 AND THE PLOWBACKRATIO IS 40 PERCENT. WHAT IS THE RETURNON ASSETS?QUESTION:AL'S MARKETS EARNS $0.12 IN PROFIT FOREVERY $1 OF EQUITY AND BORROWS $0.65 FOREVERY $1 OF EQUITY. WHAT IS THE FIRM'SRETURN ON ASSETS?A) 12.00 PERCENTB) 7.27 PERCENTC) 8.33 PERCENTD) 15.15 PERCENTE) 13.75 PERCENT

Given Data:Net Income: $4,400Total Equity: $39,450Debt-Equity Ratio: 1Step 1: Calculate Total…

Answered: QUESTION: CATHERINE'S CONSULTING HAS…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Bank Three has equity = $250 million, return on equity (ROE) = 15%, interest expense = $105 million, provision for loans (P) = $30 million, noninterest income = $45 million, noninterest expense = $20 million and a tax rate = : 34%. What is the total interest income required? A. $216.82 million. B. $236.82 million. C. $146.82 million. D. $166.82 million.
Use the following information about Red Rocks Inc. to answer the following question: Assume the following: Pays no taxes Return on net operating assets (RNOA) = 18% %3D Has $2,000 in net operating assets financed by equity At the beg. of the year borrows $1000 at 8%. Uses debt to buy additional operating assets. What is the return on equity (ROE) for Red Rocks? Edit View Insert Format Tools Table 12pt v Paragraph v B IU A e T?v I.
Vijay
What is the ROE for a firm with a times interest earned ratio of 2, a tax liability of $1 million, and interest expense of $1.68 million if equity equals $1.68 million? O 23.81% O 25.22% 33.60% 40 48% 21
Right Answer?
A firm with sales of $1,000,000, net profits after taxes of $60,000, total assots of $1,500,000, and totol liabilities of $750,000 has a return on equity ot Select one: O a. 15 percent. b. 20 percent. c. 4 percent. O d. 8 percent. e. None of the above
Domino’s Pizza, Inc. (DPZ)’s return on equity (ROE) is closest to A. 20.14%. B. 17.46%. C. 15.49%. D. 11.41%.
rofit margin = 9.2 % Capital intensity ratio = .53 Debt-equity ratio = .68 Net income = $ 103,000 Dividends = $ 52,000 Based on the above information, calculate the sustainable growth rate for Northern Lights Co. (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
Question: Fama's Llamas has a weighted average cost of capital of 9.5%. The company's cost of equity is 11%, and its cost of debt is 7.5%. The tax rate is 40%. What is the company's debt- equity ratio? (Do not round intermediate calculations and round your answer to 4 decimal places, e.g., 32.1616.)
Profit margin = 9.1% Capital intensity ratio = .52 Debt-equity ratio = .67 Net income = $102,000 Dividends = $50,500 Based on the above information, calculate the sustainable growth rate for Northern Lights Co. (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
Question: Samuelson's has a debt-equity ratio of 45 percent, sales of $11,000, net income of $2,300, and total debt of $11,700. What is the return on equity? a. 4.50 percent. b. 20.91 percent. c. 8.85 percent. d. 19.66 percent. e. 6.10 percent.
Baker Industries has a profit margin of 3%, a total asset turnover of 2, total assets of $60 million, revenue of $150 million, and equity of $20 million. Compute Baker's return on equity. Question 5 options: 9.0% 45.0% 18.0% 15.0%

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