1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
uysha [10]
3 years ago
6

Galaxy Inc. has a tax burden ratio of .75, an interest burden of .6, a leverage ratio of 1.25, and a return on sales of 10%. Thi

s year the firm makes $2.40 in sales per dollar of assets. What is the firm's ROE?
a. 15%
b. 11.5%
c. 13.5%
d. 20%
Business
1 answer:
emmainna [20.7K]3 years ago
6 0

Answer:

Return on equity = 13.5 %

Explanation:

given data

tax burden ratio = 0.75

interest burden = 0.6

leverage ratio = 1.25

return on sales = 10%

sales assets = $2.40

to find out

What is the firm's ROE

solution

we get here Return on equity (ROE) that is express as

Return on equity = tax burden ratio ×leverage ratio × interest burden ratio × return on sale × sales      .......................1

put here value we get

Return on equity =  0.75  × 1.25  × 0.6  × 10%  × 2.40

Return on equity =  0.75  × 1.25  × 0.6  × 0.10  × 2.40

Return on equity = 0.135

Return on equity = 13.5 %

You might be interested in
Grocery, inc., and dave's market enter into a contract for the delivery of locally grown produce. the parties use a standard gro
BaLLatris [955]
<span>Grocery, inc., and Dave's market enter into a contract for the delivery of locally grown produce. The parties use a standard grocery, inc. form that contains some of the terms the parties agree on but not others. some of the produce spoils before it can be sold. Dave's refuses to pay for the spoiled goods. Grocery, inc. files a suit against Dave's, claiming that the buyer assumed the risk of the spoilage of the unsold produce. The court may allow evidence of this term if it finds that the parties' contract is not fully integrated.</span>
4 0
3 years ago
What are a firm's key assets?
I am Lyosha [343]

Key assets represent knowledge that your business has that is critical to the operation of your business. ... Basically, anything about your business that is essential to its core operation would be considered a knowledge asset.

5 0
3 years ago
Read 2 more answers
Which type of facility layout is seen in the given example? George works as an operations manager for a machine manufacturer. Wi
Norma-Jean [14]

Answer: process

Explanation:just did the test on edmentum

4 0
2 years ago
Read 2 more answers
Assume that Thomas can afford to buy as many candy bars and ice cream cones as he wants. He would continue to consume both candy
deff fn [24]

Answer:

Marginal utility of each becomes negative

Explanation:

Utility is defined as the level of satisfaction that a person gets from consuming a product.

The person keeps on consuming the item until the level of marginal utility for the product becomes less than zero.

That is there is no satisfaction anymore in consuming the product.

In the given instance Thomas will continue to consume both candy bars and ice cream until the level of satisfaction (marginal utility) is now less than zero or negative

3 0
3 years ago
Deposits in transit Select one: a. have been recorded on the company's books but not yet by the bank. b. have not been recorded
mojhsa [17]

Answer:

a. have been recorded on the company's books but not yet by the bank

Explanation:

The deposit in transit means the deposit is recorded in the book of the company accounts but the same is not recorded in the bank books of account unless when they are not deposited.

So while preparing the bank reconciliation statement, we added the deposit in transit and deduct the outstanding checks in the bank books of accounts    

7 0
3 years ago
Other questions:
  • Arman sets the goal for his sales team to increase revenue by 40%. which main function of a manager does this demonstrate?
    7·2 answers
  • . If incomes rise rapidly in the United States and U.S. preferences for foreign goods strengthen, we
    6·1 answer
  • The _____ for an accountant is between $40,000 and $50,000.
    14·2 answers
  • 15-year bonds 2 years ago at a coupon rate of 7.3 percent. The bonds make semiannual payments. If these bonds currently sell for
    10·1 answer
  • A soft-drink machine is regulated so that it dischargesan average of 200 milliliters per cup. If theamount of drink is normally
    6·1 answer
  • Suppose the following data were taken from the 2022 and 2021 financial statements of American Eagle Outfitters. (All numbers, in
    13·1 answer
  • Paolo is skilled at making both earrings and bracelets. Paolo has no preference between making earrings or bracelets since he ea
    13·1 answer
  • Wylie has been offered the choice of receiving $5,000 today or an agreed-upon amount in 1 year. While negotiating the future amo
    7·1 answer
  • A 4-year project has an annual operating cash flow of $49,000. At the beginning of the project, $4,000 in net working capital wa
    11·1 answer
  • After years of experience, Dilcort Company reasonably estimated that a loss from a pending lawsuit was probable at September 30
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!