Toby’s has a profit margin of 8.6 percent, a return on assets of 14.5 percent, and a debt to equity ratio of 1.4. What is the return on equity?
Q: A firm has a debt to equity ratio of 40%, debt of $600,000, and net income of $100,000. What is the…
A: Debt to Equity ratio = Debt/Equity 40% = $600,000 / Equity Equity = $600,000 / 40% Equity = $1500000
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A: Information Provided: Total debt ratio = 0.22
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A: Given, Return on assets is 11% debt to total assets is 40%
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A: As per Dupont Analysis, Return on equity = Net Profit Margin * Asset Turnover ratio * Equity…
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A: Given: ROA = 11% Profit margin = 3.5% ROE = 14.5%
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A: GIVEN, sales = $4,600 total assets = $3,070 debt-equity ratio = 1.60 return on equity = 17%
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A: Computation:
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A: Here, Return on Equity is 0.39 Profit Margin is 0.2 Total Asset Turnover is 0.55
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- Toby’s has a profit margin of 8.6 percent, a
return on assets of 14.5 percent, and a debt to equity ratio of 1.4. What is thereturn on equity ?
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- Red Fire has a Debt/Equity Ratio of .15, and Equity Multiplier of 1.15, a return on sales of 6.4, and an asset turnover of 1.3. What is its ROE?Accounting Renty has a debt-equity ratio of 35 percent, sales of $13,500, net income of $2,200, and total debt of $11,200. What is the return on equity?Using the Du Pont method, evaluate the effects of the following relationships for the Butters Corporation. a. Butters Corporation has a profit margin of 5 percent and its return on assets (investment) is 22.5 percent. What is its assets turnover? (Round your answer to 2 decimal places.) b. If the Butters Corporation has a debt-to-total-assets ratio of 55.00 percent, what would the firm's return on equity be? (Input your answer as a percent rounded to 2 decimal places.) c. What would happen to return on equity if the debt-to-total-assets ratio decreased to 50.00 percent? (Input your answer as a percent rounded to 2 decimal places.)
- 1.If Gwen, Inc. has a total debt ratio of 0.8, a total asset turnover of 0.33, and a net profit margin of 10%. Calculate the return on equity (ROE). Enter percentages as decimals and round to 4 decimals.Gates Appliances has a return-on-assets (investment) ratio of 20 percent. a. If the debt-to-total-assets ratio is 25 percent, what is the return on equity? (Input your answer as a percent rounded to 2 decima) places.) b. If the firm had no debt, what would the return-on-equity ratio be? (Input your answer as a percent rounded to 2 decimal places.)You have access to the following information and want to calculate the debt-to-equity ratio for the firm. Return on Equity: 23.87% Profit Margin: 13.81% Total Asset Turnover: 0.65 Answer as a DECIMAL using two decimal places.
- 1. The Wilson Corporation has the following relationships:Sales/Total assets 2.0Return on assets (ROA) 4.0%Return on equity (ROE) 6.0%What is Wilson’s profit margin and debt ratio?High mountain foods has an equity multiplier of 1.72 a total asset turnover of 1.16 and a profit margin of 4.5 percent. What is the return on assets?Queen, Inc., has a total debt ratio of .22. a. What is its debt-equity ratio? b. What is its equity multiplier?
- A company has: Return on Asset 0.08 Cost of the debt 0.04. What is the Cost of Equity if the debt-equity ratio is 0.58Define profitability raitos return on assets and return on equity. According to the following metrics: ROA Return on Assets: 14%; ROE Return on Equity: 305%. What is the profitability the of example company? Why or why not is this company profitable?Using the DuPont method, evaluate the effects of the following relationships for the Butters Corporation. a. Butters Corporation has a profit margin of 5.5 percent and its return on assets (investment) is 15.5 percent. What is its assets turnover? Note: Round your answer to 2 decimal places. Assets turnover ratio b. If the Butters Corporation has a debt-to-total-assets ratio of 25.00 percent, what would the firm's return on equity be? Note: Input your answer as a percent rounded to 2 decimal places. Return on equity % Return on equity times c. What would happen to return on equity if the debt-to-total-assets ratio decreased to 20.00 percent? Note: Input your answer as a percent rounded to 2 decimal places. $