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1. XYZ SA has been a return on equity of 20%. A net profit margin of 6% and debt to equity ratio of 1. What

1. XYZ SA has been a return on equity of 20%. A net profit margin of 6% and debt to equity ratio of 1. What is XYZ return on assets? Show your work!

a. 5.0%

b. 10.0%

c. 15.0%

d. 20.5%

2. ABC company has assets of 680 billion and net income of 42.5 million on sales of 850 billion. If their ROE was 20%, how much does ABC have in total debt?

A. 136.0 billion

B. 170.0 billion

C. 212.0 billion

D. 467.5 billion

3. XYZ company has an ROE of 15%, a net profit margin of 6%and an asset turnover of 1.75. What is XYZ companydebt (debt/asset) ratio?

A. 1.43%

B. 30,00%

C. 43,00%

D. 50,00%

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