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Hello, please advise, thank you #1 For the problem below: For Profit margin I got 2% and it was right but debt to capital ratio
Hello, please advise, thank you
#1 For the problem below: For Profit margin I got 2% and it was right but debt to capital ratio I put 50% it was wrong and 1.63 was also wrong.
#2 I was lost here
#3 Is this right:
Assume the following relationships for the Caulder Corp.: Sales/Total assets 2x Return on assets (ROA) 4.0% Return on equity (ROE) 13.0% Calculate Caulder's profit margin and 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 answers to two decimal places. Profit margin: Debt-to-capital ratio: Henderson's Hardware has an ROA of 8%, a 5.5% profit margin, and an ROE of 17%. What is its total assets turnover? Do not round intermediate calculations. Round your answer to two decimal places. What is its equity multiplier? Do not round intermediate calculations. Round your answer to two decimal places. Broward Manufacturing recently reported the following information: Net income $384,000 ROA 8% Interest expense $130,560 Accounts payable and accruals $1,000,000 Broward's tax rate is 25%. Broward finances with only debt and common equity, so it has no preferred stock. 40% of its total invested capital is debt, and 60% of its total invested capital is common equity. Calculate its basic earning power (BEP), its return on equity (ROE), and its return on invested capital (ROIC). Do not round intermediate calculations. Round your answers to two decimal places. BEP: 13.39 % ROE: 16.84 % ROIC: 21.14 %
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