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Assume the following relationships for the Caulder Corp.: Sales / Total assets 1 . 3 x Return on assets ( ROA ) 4 . 0
Assume the following relationships for the Caulder Corp.:
SalesTotal assets x
Return on assets ROA
Return on equity ROE
Calculate Caulders profit margin and debttocapital ratio assuming the firm uses only debt and common equity, so total assets equal total invested capital.
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