7. HHH Inc. reported $32,000 of sales and $8,700 of operating costs (including depreciation). The company had $16,000 of investor-supplied operating assets (or capital), the weighted average cost of that capital (the WACC) was 12.5%, and the federal-plus-state income tax rate was 40%. What was HHH's Economic Value Added (EVA), i.e., how much value did management add to stockholders' wealth during the year? a. $14,256 b. $13,100 c. $12,005 d. $11,980

6. Arshadi Corp.'s sales last year were $52,000, and its total assets were $22,000. What was its total assets turnover ratio (TATO)?

1. 2.364
2. 2.198
3. 1.695
4. 1.263

7. Rappaport Corp.'s sales last year were $350,000, and its net income after taxes was $26,000. What was its profit margin on sales?

1. 9.558%
2. 8.065%
3. 7.429%
4. 6.664%