A franchise has $550,000 Owners Equity throughout the year. It has a $200,000 bank loan. Here are other information for the year: Revenue $320,000 Operating Costs $100,000 Interest rate 5% Depreciation $20,000 Profits Tax Rate 25% Dividend Payout Ratio 50%

Calculate the following, showing your work:

1. Before-tax profits 2. After-tax profits 3. Net change in cash 4. Leverage ratio 5. Coverage ratio 6. ROE