Homework Help is Here – Start Your Trial Now!
Business
Accounting
Tanner's Formal Wear has a debt-equity ratio of 75 percent, sales of $980,000, net income of $45,250, and total debt of $210,000. What is the return on equity (ROE)? a) 16.16 percent b) 14.90 percent c) 19.30 percent d) 8.42 percent

Tanner's Formal Wear has a debt-equity ratio of 75 percent, sales of $980,000, net income of $45,250, and total debt of $210,000. What is the return on equity (ROE)? a) 16.16 percent b) 14.90 percent c) 19.30 percent d) 8.42 percent

Cornerstones of Financial Accounting
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter10: Stockholder's Equity
Section: Chapter Questions
Problem 79E: Ratio Analysis MJO Inc. has the following stockholders equity section of the balance sheet: On the...
See similar textbooks
icon
Related questions
Question

MCQ

Tanner's Formal Wear has a debt-equity ratio of 75 percent, sales of $980,000, net income of $45,250, and total debt of $210,000. What is the return on equity (ROE)? a) 16.16 percent b) 14.90 percent c) 19.30 percent d) 8.42 percent
Transcribed Image Text:Tanner's Formal Wear has a debt-equity ratio of 75 percent, sales of $980,000, net income of $45,250, and total debt of $210,000. What is the return on equity (ROE)? a) 16.16 percent b) 14.90 percent c) 19.30 percent d) 8.42 percent
Expert Solution
steps

Step by step

Solved in 2 steps

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer