Zephyr Corp has an asset turnover of 3.2 and a profit margin of 4.5%. What is Zephyr's Return on Assets (ROA)? a. 7.2% b. 14.4% c. 10.5% d. 9.8%

Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter12: Fainancial Statement Analysis
Section: Chapter Questions
Problem 26MCQ
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Zephyr Corp has an asset turnover of 3.2 and a profit
margin of 4.5%. What is Zephyr's Return on Assets
(ROA)?
a. 7.2%
b. 14.4%
c. 10.5%
d. 9.8%
Transcribed Image Text:Zephyr Corp has an asset turnover of 3.2 and a profit margin of 4.5%. What is Zephyr's Return on Assets (ROA)? a. 7.2% b. 14.4% c. 10.5% d. 9.8%
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