Question $26$

$2$ pts

Johnson & Co$.$ has $$600,000$ of assets and a total debt ratio of $40\%.$ If the company had net income after taxes of $$100,000,$ what is its Return on Equity? $($Hint$,$ use the accounting identity$)$

$10\%$

$47\mathrm{.}6\%$

$65\mathrm{.}0\%$

$27\mathrm{.}7\%$