Why does the use of debt lower the profit margin and the ROA? AppendixLO1
Question:
Why does the use of debt lower the profit margin and the ROA?
AppendixLO1
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 100% (QA)
Answered By
Asim farooq
I have done MS finance and expertise in the field of Accounting, finance, cost accounting, security analysis and portfolio management and management, MS office is at my fingertips, I want my client to take advantage of my practical knowledge. I have been mentoring my client on a freelancer website from last two years, Currently I am working in Telecom company as a financial analyst and before that working as an accountant with Pepsi for one year. I also join a nonprofit organization as a finance assistant to my job duties are making payment to client after tax calculation, I have started my professional career from teaching I was teaching to a master's level student for two years in the evening.
My Expert Service
Financial accounting, Financial management, Cost accounting, Human resource management, Business communication and report writing. Financial accounting : • Journal entries • Financial statements including balance sheet, Profit & Loss account, Cash flow statement • Adjustment entries • Ratio analysis • Accounting concepts • Single entry accounting • Double entry accounting • Bills of exchange • Bank reconciliation statements Cost accounting : • Budgeting • Job order costing • Process costing • Cost of goods sold Financial management : • Capital budgeting • Net Present Value (NPV) • Internal Rate of Return (IRR) • Payback period • Discounted cash flows • Financial analysis • Capital assets pricing model • Simple interest, Compound interest & annuities
4.40+
65+ Reviews
86+ Question Solved
Related Book For
Fundamentals Of Financial Management Concise Edition
ISBN: 9781285065137
8th Edition
Authors: Eugene F. Brigham, Joel F. Houston
Question Posted:
Students also viewed these Business questions
-
Prepare the financial analysis to support your decision between bankruptcy,voluntary reorganization,and Chapter11reorganization.It must be complete and prepared in a professional level,with the...
-
Need help with milestone one ACC 660, the attached like include guidelines, rubric and a case study on Starbucks from Harvard university. NOTES: 1. Please be sure to attach excel workbooks or...
-
I need help with the post below... has to be 150 words. This week wewill discuss areas of interestin learning how to use the comprehensive (see note*) financial techniques to evaluate a company's...
-
Horizontal analysis (trend analysis) percentages for Epstein Companys sales, cost of goods sold, and expenses are shown below. Did Epsteins net income increase, decrease, or remain unchanged over the...
-
Tate Tasers Inc. is preparing interim financial statements for the quarter ending 31 March 20X1 and needs to estimate the value of inventory on hand at the end of the quarter. Physical inventory...
-
Use the ijk notation and derive the identity (A X B) x (C X D) = (ABC) C (ABC) D
-
Comparing Premiums for Life Insurance Policies. Choose one stock and one mutual life insurance company. Obtain and compare premiums for: a. Term life insurance for $100,000. b. Whole life insurance...
-
Western Sound Studios records and masters audio tapes of popular artists in live concerts. The performers use the tapes to prepare live albums, CDs, and MP3s. The following account balances were...
-
Required informationSkip to question [ The following information applies to the questions displayed below. ] At the end of June, the job cost sheets at Ace Roofers show the following costs...
-
Using more debt lowers profits and thus the ROA. Why doesnt debt have the same negative effect on the ROE? AppendixLO1
-
Identify six profitability ratios and write their equations. AppendixLO1
-
The population of the United States was 3.9 million in 1790 and 178 million in 1960. If the rate of growth is assumed proportional to the number present, what estimate would you give for the...
-
Layout Type: what type of layout do you consider most appropriate for a hotel?
-
If automating user creation using Ansible, must you use a bash script? Are there other tools? Discuss.
-
Explain Influencer marketing. Use these links: https://afluencer.com/influencer-marketing-trends-in-the-future/ https://influencermarketinghub.com/influencer-marketing-trends/...
-
Regarding the Proctor and Gamble - Japan case, what are the advantages and disadvantages of introducing the SKII skin care line in to China? Explain.
-
Reflect on some of your recent experiences as a customer. What was the best customer service that you have received? What was an example of the worst? In a few short paragraphs, relate these events...
-
Consider an array of vertical rectangular fins, which is to be used to cool an electronic device mounted in quiescent, atmospheric air at T = 27C. Each fin has L = 20 mm and H = 150 mm and operates...
-
Suppose a population of bacteria doubles every hour, but that 1.0 x 106 individuals are removed before reproduction to be converted into valuable biological by-products. Suppose the population begins...
-
Row Labels Average of Contribution Margin Sum of Fixed Cost Breakeven Auto 345.1192272 3199990 9272.12901 Disability 346.0227211 3835240 11083.7808 Home 497.6168872 3453450 6939.9775 Life 231.3872657...
-
Each visor requires a total of $3.50 in direct materials that includes an adjustable closure that the company purchases from a supplier at a cost of $2.50 each. Shadee wants to have 27 closures on...
-
Physical control of materials. a. Limited access to materials storage areas. b. Segregation of duties. c. Accuracy in recording. d. All of the above
Study smarter with the SolutionInn App