Question
Rome Deposit, Inc. has the following balance sheet and income statement. Income Statement ($ millions) Balance Sheet ($ millions) Net sales $ 3,000.00 Assets Expenses
Rome Deposit, Inc. has the following balance sheet and income statement. Income Statement ($ millions) Balance Sheet ($ millions) Net sales $ 3,000.00 Assets Expenses 1,300.00 Current assets $ 3,200.00 Depreciation 450.00 Net fixed assets 4,500.00 Taxable income $ 1,250.00 Total assets $ 7,700.00 Interest expense 550.00 Taxable income $ 700.00 Liabilities & Owner's Equity Taxes (35%) 245.00 Current liabilities $ 1,200.00 Net income $ 455.00 Long-term debt 2,600.00 Owner's equity 3,900.00 Total liabilities and equity $ 7,700.00 a. What is the companys after-tax operating income? (Enter your answer in millions and round to one decimal places.) b. What is the companys total capitalization? (Enter your answer in millions and round to the nearest dollar.) c. What is the companys return on capital? (Enter your answer as a percent rounded to 2 decimal places.)
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