Sophia's Flower Shop has a return on assets of 14%. Sophia's total assets are $500, while owner's equity is $200 and debt equals $300. What is Sophia's return on equity?

EBK CFIN
6th Edition
ISBN:9781337671743
Author:BESLEY
Publisher:BESLEY
Chapter2: Analysis Of Financial Statements
Section: Chapter Questions
Problem 16PROB
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what is Sophia's return on equity?

Sophia's Flower Shop has a return on assets
of 14%. Sophia's total assets are $500, while
owner's equity is $200 and debt equals $300.
What is Sophia's return on equity?
Transcribed Image Text:Sophia's Flower Shop has a return on assets of 14%. Sophia's total assets are $500, while owner's equity is $200 and debt equals $300. What is Sophia's return on equity?
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