Question
In response to complaints about high prices, a grocery chain runs the following advertising campaign: If you pay your child $1 to go buy $31
In response to complaints about high prices, a grocery chain runs the following advertising campaign: If you pay your child $1 to go buy $31 worth of groceries, then your child makes about twice as much on the trip as we do. Youve collected the following information from the grocery chains financial statements:
(millions) | |||
Sales | $ | 770.00 | |
Net income | 12.25 | ||
Total assets | 360.00 | ||
Total debt | 156.50 | ||
What is the childs profit margin? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Childs profit margin _____ % What is the stores profit margin? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Stores profit margin _____ % What is the store's ROE? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) ROE ______% ?
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