Sunbeam Electronics has annual sales of $1,045,000, total debt of $250,000, total equity of $650,000, and a profit margin of 4.95 percent. What is the return on assets (ROA)? A) 8.29 percent B) 6.48 percent C) 9.94 percent D) 5.75 percent

EBK CONTEMPORARY FINANCIAL MANAGEMENT
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Chapter13: Capital Structure Concepts
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What is the return on assets of this accounting question?

Sunbeam Electronics has annual sales of $1,045,000,
total debt of $250,000, total equity of $650,000, and a
profit margin of 4.95 percent. What is the return on
assets (ROA)?
A) 8.29 percent
B) 6.48 percent
C) 9.94 percent
D) 5.75 percent
Transcribed Image Text:Sunbeam Electronics has annual sales of $1,045,000, total debt of $250,000, total equity of $650,000, and a profit margin of 4.95 percent. What is the return on assets (ROA)? A) 8.29 percent B) 6.48 percent C) 9.94 percent D) 5.75 percent
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