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
cupoosta [38]
3 years ago
5

Keller Cosmetics maintains an operating profit margin of 7% and asset turnover ratio of 4.

Business
1 answer:
Stels [109]3 years ago
4 0

Answer:

a) 28%

b) 56%

Explanation:

Data provided in the question:

Operating profit margin = 7%

Asset turnover ratio = 4

Now,

a) ROA = Profit margin × Asset turnover ratio

= 7% × 4

= 28%

b) Given:

Debt-equity ratio = 1

Interest payments = $8,200

Taxes = $8,200

EBIT = $21,000

Now,

Total assets = Net income ÷ ROA

Also,

Net income = EBIT - tax - interest

= $21,000 - $8,200 - $8,200

= $4,600

Thus,

Total assets = $4,600 ÷ 28%

= $16428.57

also,

Total assets = Debt + Equity

or

Total assets = Equity × (\frac{\textup{Debt}}{\textup{Equity}}+1 )

or

$16428.57 = Equity × ( 1 + 1 )

or

=> Equity = $8214.28

Therefore,

ROE = Net income ÷ Equity

= $4,600 ÷ $8214.28

= 56%

You might be interested in
C&K Brewing Company is a microbrewery in western Canada. It produces Maiden’s Honor brand ale, a dark beer called Warrior’s
ehidna [41]

Answer:

The correct answer is letter "A": concurrent .

Explanation:

Concurrent control is adopted to regulate ongoing activities in an organization so that they can meet the company's standards. This type of control is chosen to ensure that the output will have the results expected. It implies measuring the quality of the processes at a certain point in time to determine to continue with them or not.

3 0
3 years ago
According to the Techstar’s video describing entrepreneurial journeys, and their efforts to support entrepreneurship, what is th
chubhunter [2.5K]

Answer:

Champion

Explanation:

According to Techstars, the final stage of an entrepreneur's journey is champion. This represents start-ups that have a chieved great success like Google, and they are championing the enterpreneur's journey by working with enterpreneurs at earlier stages.

The initial stages of enterpreneur's journey is: inspire, discovery, founder, startup, scale, and finally champion.

5 0
3 years ago
The largest capital market security outstanding in 2019 measured by market value was:_______
yulyashka [42]

The largest capital market security outstanding in 2019 measured by market value was cooperate stocks.

<h3>What is cooperate stocks?</h3>

Corporate stock, can as well be described as the equity security,  which serves as the instrument  that is been utilized by corporations  in order to raise capital.

However to  purchase stock in the company, the buyer is entitled to voting rights , hence The largest capital market security outstanding in 2019 measured by market value was cooperate stocks.

Learn more about cooperate stocks at:

brainly.com/question/25818989

#SPJ1

8 0
2 years ago
Richard and Alice are divorced and under the terms of their written divorce agreement signed on December 30, 2011, Richard was r
murzikaleks [220]

Answer:

$10,800

Explanation:

Alice's gross income must include the money she received from Richard as part of their divorce settlement, excluding the amount set for child support:

Alice's gross income = 12 x ($1,500 - $600) = 12 x $900 = $10,800

The extra money that Richard gave Alice that was not part of the divorce settlement is not included in her gross income, since it is included in Richard's gross income.

4 0
3 years ago
Should I still Go?
german
If the date of the appointment has been rescheduled, it's only logical not to show up on the day it was moved. Go to the appointment next week.
7 0
3 years ago
Read 2 more answers
Other questions:
  • Bill has a mortgage loan on his personal residence. he decides to pay 18 months of interest in advance on october 1, 2016. the t
    12·1 answer
  • The FDA supervises standards of quality and consistency of drugs today. <br><br> True <br> False
    15·1 answer
  • Which of the following statements is CORRECT? (Assume that the risk-free rate is a constant.)a. If the market risk premium incre
    14·1 answer
  • DuPont analysis is conducted using the DuPont equation, which helps you analyze three important factors that drive a company's R
    10·1 answer
  • The Sarbanes-Oxley Act of 2002 (SOX) imposes stricter requirements over financial reporting and internal controls and stricter c
    13·1 answer
  • The entry to accrue a contingent liability reduces equity but not income. is made if it is more likely than not that the liabili
    6·1 answer
  • State any three examples of non-insurable risks??​
    6·1 answer
  • Marketing mangers use both discounts and allowances, which are reductions from the list price given, as a reward for performing
    12·1 answer
  • The AD Curve ________. A) indicates the level of aggregate output corresponding to different goods-market-clearinglevels of the
    5·1 answer
  • A commercial bank has $50 million in checkable-deposit liabilities and $10 million in actual reserves. The required reserve rati
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!