Xtreme Sports Innovations has disclosed the following information: EBIT = $19,840,000 Net income = $6,710,000 Net sales = $82,520,000 Total debt = $21,080,000 Total assets = $78,470,000 Compute the following ratios for this firm using the DuPont identity: debt-to-equity ratio, EBIT ROA, ROA, and ROE.

Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter15: Financial Statement Analysis
Section: Chapter Questions
Problem 49E
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Please provide this question answer general accounting

Xtreme Sports Innovations has disclosed the
following information:
EBIT = $19,840,000
Net income = $6,710,000
Net sales = $82,520,000
Total debt = $21,080,000
Total assets = $78,470,000
Compute the following ratios for this firm using the
DuPont identity: debt-to-equity ratio, EBIT ROA,
ROA, and ROE.
Transcribed Image Text:Xtreme Sports Innovations has disclosed the following information: EBIT = $19,840,000 Net income = $6,710,000 Net sales = $82,520,000 Total debt = $21,080,000 Total assets = $78,470,000 Compute the following ratios for this firm using the DuPont identity: debt-to-equity ratio, EBIT ROA, ROA, and ROE.
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