Question
21.In 2018, a firm had a ROE of 28.9% and atotal asset turnover ratio of 1.46. The firm had sales of $1,396,480 and net income
21.In 2018, a firm had a ROE of 28.9% and atotal asset turnover ratio of 1.46. The firm had sales of $1,396,480 and net income of $174,560in 2018. Using the DuPont method, what is the equity multiplier?(Express to the nearest hundredth)
22.In 2016, Granite Bath, Inc. listed the following information for the firm at year-end: net income = $241,580, total debt = $936,000, and debt ratio = 60%. What is the firms ROE for 2016?(Express as a percentage to the nearest hundredth)
23.FlashyFlorals reported a profit margin of 14.8%, total asset turnover ratio of 1.6times, debt-to-equity ratio of 0.625 times, net income of $642,000, and dividends paid to common stockholders of $337,050. The firm has no preferred stock outstanding. What is the firms internal growth rate?(Express as a percentage to the nearest hundredth)
24.You have located the following information on BlueStone, Inc.: debt ratio = 42.5%, capital intensity ratio = 1.25 times, profit margin = 14.5%, and dividend payout ratio = 27.5%. What is the sustainable growth rate for BlueStone?(Express as a percentage to the nearest hundredth)
25. Suppose a company has an ROE of 28.6 percent, total asset turnover ratio of 1.4 and equity multiplier of 01.75. If the average profit margin for other firms in the same industry is 16.40 percent, how much is this firm operating at below industry standards?(Express as a percentage to the nearest hundredth
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