A firm has a debt-to-total assets ratio of 60%, $300,000 in debt, and a net income of $50,000. Calculate return on equity. Hint: this will be derived from the formulas: debt-to-total-assets total debt/total assets; return on assets = net income/total assets; and return on equity = return on assets/(1-debt/assets) (you must determine total assets, in order to determine return on assets, in order to determine return on equity).