Question
Net profit margin=Net income/Sales Net income=0.045*Sales Total asset turnover=Sales/Total assets Sales=1.75*Total assets ROA=Net income/Total assets =(0.045*Sales)/Total assets =(0.045*1.75*Total assets)/Total assets =7.88%(Approx) (with margin: 0.2) What
Net profit margin=Net income/Sales
Net income=0.045*Sales
Total asset turnover=Sales/Total assets
Sales=1.75*Total assets
ROA=Net income/Total assets
=(0.045*Sales)/Total assets
=(0.045*1.75*Total assets)/Total assets
=7.88%(Approx) (with margin: 0.2)
What is the firm's ROE? (again round to 2 decimal places, i.e. xx.xx) in %
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Governing The Modern Corporation Capital Markets Corporate Control And Economic Performance
Authors: Roy C. Smith, Ingo Walter
1st Edition
0195171675,0199924015
