Two firms have sales of $0.6 million each. Other financial information is as follows:

What are the operating profit margins and the net profit margins for these two firms? Round your answers to two decimal places.

Operating profit margins:

Firm A: __________ %

Firm B: ___________ %

Net profit margins:

Firm A: _________ %

Firm B: ___________ %

What are their returns on assets and on equity? Round your answers to two decimal places.

Return on assets:

Firm A: _________ %

Firm B: _________ %

Return on equity:

Firm A: _________ %

Firm B: ___________ %

Firm A B EBIT Interest expense Income tax $ 120,000 $120,000 30,000 70,000 50,000 25,000 1,040,000 80,000 290,000 130,000 Debt Equity