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Assume the following relationships for the Caulder Corp.: Sales/Total assets 1.6x Return on assets (ROA) 7% Return on equity (ROE) 9% Calculate Caulder's profit margin
Assume the following relationships for the Caulder Corp.:
Sales/Total assets | 1.6x |
Return on assets (ROA) | 7% |
Return on equity (ROE) | 9% |
- Calculate Caulder's profit margin assuming the firm uses only debt and common equity, so total assets equal total invested capital. Round your answer to two decimal places. _______ %
- Calculate Caulder's debt-to-capital ratio assuming the firm uses only debt and common equity, so total assets equal total invested capital. Do not round intermediate calculations. Round your answer to two decimal places. _______ %
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