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Ratio Calculations: Assume the following relationships for the Brauer Corp: Sales / total assets 1.5x Return on Assets (ROA) 3.0% Return on Equty (ROE) 5.0%

Ratio Calculations:

Assume the following relationships for the Brauer Corp:

Sales / total assets 1.5x

Return on Assets (ROA) 3.0%

Return on Equty (ROE) 5.0%

Calculate Brauer's profit margin and debt-to-capital ratio assuming the firm uses only debt and common equity, so total assets equal total invested capital.

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