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(Not a repeat of the previous NEC questions.) New England Cosmetics (NEC) produces several different perfumes and toiletries. Its men's after shave line earns a
- (Not a repeat of the previous NEC questions.) New England Cosmetics (NEC) produces several different perfumes and toiletries. Its men's after shave line earns a low return on assets (ROA). NEC is in a very competitive market and therefore cannot raise its prices. It has an asset base of $2.235 million for this line and it currently sells $3.54 million and earns $80,000 profit before tax. What is their current ROA? (Not the same as the previous question)
- 2.26%
- 1.58%
- 3.58%
- Cannot be calculated as amount of equity needed is missing
- Some other number
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Financial Accounting Fundamentals
Authors: John J. Wild
5th edition
1308500102, 1308500106, 78025753, 978-0078025754
