Question
(Evaluating profitability) The Malia Corporation had sales in 2019 of $65 million, total assets of $49 million, and total liabilities of $23 million. The interest
(Evaluating
profitability)
The Malia Corporation had sales in
2019
of
$65
million, total assets of
$49
million, and total liabilities of
$23
million. The interest rate on the company's debt is
6.3
percent and its tax rate is
21
percent. The operating profit margin was
11
percent. What were the company's operating income and net income? What was the operating return on assets and return on equity? Assume that interest must be paid on all of the debt.
The operating profits were
(Round to the nearest dollar.)The net income was
(Round to the nearest dollar.)The operating return on assets was
(Round to one decimal place.)The return on equity was
(Round to one decimal place.)
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