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part 3 is true or false Balance Sheets: 2018 2017 $80 $65 300 275 375 350 Cash and equivalents Accounts receivable Inventories Total current assets

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Balance Sheets: 2018 2017 $80 $65 300 275 375 350 Cash and equivalents Accounts receivable Inventories Total current assets Net plant and equipment Total assets $715 $730 2,000 $2,730 1,490 $2,205 $150 75 $85 50 130 155 Accounts payable Accruals Notes payable Total current liabilities Long-term debt Common stock Retained earnings Total liabilities and equity $290 290 $355 450 1,225 700 1,225 400 $2,730 $2,205 Income Statements: 2018 2017 $2,000 1,250 . $750 100 Sales Operating costs excluding depreciation EBITDA Depreciation and amortization EBIT Interest EBT Taxes (40%) Net income $1,500 1,000 $500 75 $425 $650 62 45 $588 235 $353 $380 152 $228 Dividends paid Addition to retained earnings $53 $300 $48 $180 Shares outstanding Price 100 $25.00 10.00% 100 $22.50 WACC What is the firm's 2018 debt-to-capital ratio? Round your answer to two decimal places, % If the industry average debt-to-capital ratio is 30%, then Rosnan's creditors have a select cushion than indicated by the industry average. What is the firm's 2018 profit margin? Round your answer to two decimal places. % If the industry average profit margin is 12%, then Rosnan's lower than average debt-to-capital ratio might be one reason for its high profit margin -Select What is the firm's 2018 price/earnings ratio? Round your answer to two decimal places. Using the DuPont equation, what is the firm's 2018 ROE? Round your answer to two decimal places. %

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