You have the following data for a company. What is the return on assets (ROA)? Return on equity =15 %; Earnings before taxes = $50,000; Total assets turnover = 1.2; Profit margin = 7.5%; Tax rate = 35%.

Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter7: Analysis Of Financial Statements
Section: Chapter Questions
Problem 6P
icon
Related questions
Question

None.

You have the following data for a company. What is
the return on assets (ROA)?
Return on equity =15 %; Earnings before taxes =
$50,000; Total assets turnover = 1.2; Profit margin =
7.5%; Tax rate = 35%.
Transcribed Image Text:You have the following data for a company. What is the return on assets (ROA)? Return on equity =15 %; Earnings before taxes = $50,000; Total assets turnover = 1.2; Profit margin = 7.5%; Tax rate = 35%.
Expert Solution
steps

Step by step

Solved in 2 steps

Blurred answer
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Intermediate Financial Management (MindTap Course…
Intermediate Financial Management (MindTap Course…
Finance
ISBN:
9781337395083
Author:
Eugene F. Brigham, Phillip R. Daves
Publisher:
Cengage Learning