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Assume the following data for Cable Corporation and Multi-Media Inc. Cable Corporation Multi-Media Inc. Net income $ 30,300 $ 190,000 Sales 387,000 2,460,000 Total assets

Assume the following data for Cable Corporation and Multi-Media Inc.

Cable Corporation Multi-Media Inc.
Net income $ 30,300 $ 190,000
Sales 387,000 2,460,000
Total assets 479,000 986,000
Total debt 245,000 474,000
Stockholders' equity 234,000 512,000

a-1. Compute return on stockholders equity for both firms. (Input your answers as a percent rounded to 2 decimal places.)

a-2. Which firm has the higher return?

Cable Corporation
Multi-Media Inc.

b. Compute the following additional ratios for both firms. (Input your Net income/Sales, Net income/Total assets and Debt/Total asset answers as a percent rounded to 2 decimal places. Round your Sales/Total assets answers to 2 decimal places.)

Cable Corporation Multi-Media Inc.
Net income/Sales % %
Net Income/Total Assets % %
Sales/Total assets times times
Debt/Total Assets % %
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