What is the return on equity on these accounting question? Reliable Cars has sales of $807,200, total assets of $1,105,100,and a profit margin of 9.68 percent. The firm has a total debtratio of 64 percent. What is the return on equity?a) 19.64 percentb) 21.03 percentc) 18.56 percentd) 13.09 percente) 16.04 percent

Step 1: Define Return on EquityIn the parlance of finance, there are various financial ratios that…

Answered: Reliable Cars has sales of $807,200,…

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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What is the return on equity?
What is the return on equity?
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Reliable Cars has sales of $807,200, total assets of $1,105,100, and a profit margin of 9.68 percent. The firm has a total debt ratio of 64 percent. What is the return on equity? a) 19.64 percent b) 21.03 percent c) 18.56 percent d) 13.09 percent e) 16.04 percent