Financial details for RealEstate Holdings Co. are as follows:
oRevenue: $55 million
oCost of Goods Sold: $25 million
oOperating Expenses: $15 million
oNet Income: $9 million
oTotal Assets: $70 million
oTotal Liabilities: $28 million
Requirements:
oCalculate the gross profit and net profit margins.
oCompute the return on equity (ROE).
oDetermine the quick ratio, assuming inventory is $5 million and current liabilities are $18 million.