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viktelen [127]
3 years ago
8

A firm has a profit margin of 6% and an equity multiplier of 1.5. Its sales are $230 million, and it has total assets of $115 mi

llion. What is its ROE? Do not round intermediate calculations. Round your answer to two decimal places.
Business
1 answer:
Ket [755]3 years ago
7 0

Answer:

18%

Explanation:

In this question, we use the DuPont Analysis which is shown below:

ROE = Profit margin × Total assets turnover × Equity multiplier

ROE = 6% × 2 × 1.5

        = 18%

The total assets turnover is shown below:

= Sales ÷ total assets

= $230 million ÷ $115 million

= 2

Simply we apply the ROE formula in which the profit margin is multiplied with the total assets turnover and the equity multiplier

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nydimaria [60]

Answer:

Materials quantity variance = $1,750(U)

Explanation:

Standard quantity(SQ) = $2.5 * 6600 = 16500 Kg

Standard Price( SP) = $5  

Actual quantity(AQ) = 16,850 Kg  

Actual Price( AP) = $90,720 / 18,900 kg = $4.8

Materials quantity variance = SP * (SQ - AQ)  

Materials quantity variance = 5 * ( 16500 - 16,850 )

Materials quantity variance = 5 * (350)

Materials quantity variance = $1,750(U)

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Tesla  is the company is the best one people wish to invest for next 3 decades, based on its management, product or business model, financial condition, consistent past and potential earning.

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According to management experts, Tesla is one company that has a practical organizational structure with a lot of hierarchical structure.

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2 years ago
If you are holding a premium bond, you must expect a _______ each year until maturity. If you are holding a discount bond, you m
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Answer:

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Explanation:

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2 years ago
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Answer:

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3 years ago
Read 2 more answers
Which of the following is a benefit to corporate executives when a process is outsourced?
love history [14]

Answer:

<h2>In this case,the correct answer would be option b) given in the answer choices or More time to explore new revenue generation activities.</h2>

Explanation:

  • From an economic or business perspective, outsourcing of operational activities or conducts refer to assigning the business functions, activities, projects, assignments etc. to any third party or external agency with a view to enhance work productivity and minimize overall average operational costs or expenses.
  • The third party or the external entities involved in the outsourcing activities are typically not part of the parent or main company or are not commercially affiliated with the parent or main company.
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