14. TSE has an equity multiplier of 1.66, and its assets are financed with some combinations of long-term debt and common equity. What is its debt ratio? a) 60 b) 39.76% c) 66% O d) 20% O e) None of the above 15. Firm X has a Return on Equity (ROE) equal to 10%, a total debt ratio equal to 0.6. If the firm has an fixed-asset turnover ratio of 0.54, what is its profit margin? a) 74% b) 3.08% c) 95 d) 8.5% e) None of the above 16. A company's 10-year bonds are yielding 8.5% per year. Treasury bonds with the same maturity are yielding 6.9% per year, and the real risk-free rate (r") is 2.7%. The inflation premium is 3%, the liquidity premium is 0.5%, and the maturity risk premium is 1.2%. What is the default risk premium on the corporate bonds? b) 2.15 c) 235 d) 3.5 e) None of the above