Question
13. LavishNest, Inc. has an ROA (return on assets) of 12 percent, total assets of $400,000 and a net profit margin of 4.5 percent. What
13. LavishNest, Inc. has an ROA (return on assets) of 12 percent, total assets of $400,000 and a net profit margin
of 4.5 percent. What are LavishNest's annual sales?
14. ProlificPath's debt-to-total assets ratio is 0.544 (i.e., debt ratio = 54.4%). What is the company's debt-to-equity
ratio? (Enter answer as a ratio rounded to 2 decimal places - that is, do not convert to a percent; for example,
enter 80/35 = 2.2857 as 2.29).
15. Vailar, Inc has a debt ratio of 22.5% and ROE = 15%. What is Phillips' ROA? (Enter answer as a percent).
16. Gormique, Inc. has an ROA of 18% and a debt/equity ratio of 0.55. The firm's ROE is _________. (Enter
answer as a percent).
17. Assume that RizeForce, Inc. has:
Debt ratio = 70%
Net profit margin = 15%
Return on assets (ROA) = 7.5%
Find RizeForce's Total Asset Turnover ratio. (Enter answer as a ratio - that is, do not convert to a percent).
18. Assume that SharpTactic, Inc. has ROA of 20.5%, ROE of 42% and Total Asset Turnover ratio of 3.5. Calculate
the debt ratio for SharpTactic. (Enter answer as a percent).
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