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Assume you are given the following relationships for the Warner Corporation: Sales / Total assets 1.1 Return on assets (ROA) 2.35% Return on equity (ROE)
Assume you are given the following relationships for the Warner Corporation: Sales / Total assets 1.1 Return on assets (ROA) 2.35% Return on equity (ROE) 4.35%
Calculate Warners debt-to-capital ratio, assuming it uses only debt and common equity financing.
Selected Answer:
a. 20.14%
b. 185.11%
c. 54.02%
d. 85.11%
e. 45.98%
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