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
Sliva [168]
3 years ago
8

Company B has sales of $807,200, total assets of $768,100, and a profit margin of 6.68 percent. The firm has a total debt ratio

of 54 percent. What is the return on equity
Business
1 answer:
Juliette [100K]3 years ago
5 0

Answer:

15.26%

Explanation:

The computation of the return on equity is shown below;

We know that

Profit margin = Net income ÷Sales

So,  

Net income = ($807,200 × 6.68%)

= $53,920.96

Now  

Debt ratio = debt ÷ Total assets

Debt = (0.54 × $768,100)

= $414,774

We know that  

Total assets = debt + equity

equity = ($768,100 - $414,774)

= $353,326

Finally

ROE = Net income ÷ equity

=$53,920.96 ÷ $353,326

=15.26%

You might be interested in
Louis Petit, a manager of Doggone Gorgeous, Inc., was reviewing the water bills of a dog daycare and spa. He determined that its
Sergeeva-Olga [200]

Answer:

Fixed cost = $1100

Explanation:

given data

Highest bill = $3,800

lowest bills = $2,000

dog washed in May = 600

dog washed in November = 200

to find out

fixed cost associated with the company's water bill

solution

first we get here variable cost that is express as

variable cost = (Highest bill - Lowest bill) ÷  ( Dogs washed may - Dogs washed November )  ...........1

put here value we get

variable cost = \frac{3800-2000}{600-200}

variable cost = $4.5 per dog

so fixed cost will be here as

Fixed cost = Total cost to wash 600 dogs - Variable cost to wash 600 dogs

Fixed cost = $3800 - $4.5 × 600 dogs

Fixed cost = $3800 - $2700

Fixed cost = $1100

7 0
3 years ago
A ________ is a formal document that states the goals of the business as well as the intended process for reaching those goals.
Digiron [165]
A business plan is a formal document that states the goals of the business as well as the intended process for reaching those goals. This provides a market analysis. This basically provides the investors an idea of how the company will make use of its money and conduct business.
3 0
4 years ago
The general arbitrage pricing theory (APT) differs from the single-factor capital asset pricingmodel (CAPM) because the APT_____
klio [65]

Answer:

The correct answer is letter "D": multiple systematic risk factors.

Explanation:

The Arbitrage Pricing Theory or APT weights the influence of different macroeconomic factors on an asset return. If the asset's price is different than the model's projection an opportunistic investor can buy and sell the asset for a profit. Those macroeconomic factors can include economic output, unemployment, inflation, savings or investments-specific considerations and they capture systematic risk.

6 0
3 years ago
JBC Corporation is owned 20 percent by John, 30 percent by Brian, 30 percent by Charlie, and 20 percent by Z Corporation. Z Corp
USPshnik [31]

Answer:

Part (a)  

The percentage ownership of Mr. John is 20% + (80% x 20%) = 36%

Part (b)

The percentage ownership of Mr. Brian is 30% + 30% = 60%

Part (c)

The percentage ownership of Mr. Charlie is 30% + 30% = 60%

Part (d)

The amount that could be recognized for the purposes of tax would be $0, as Mr. Brian owns more than half that is more than 50% of XYZ Corp. either directly or indirectly.

4 0
3 years ago
Winston contracts to sell a plot of land called Blackacre to Paris for $500,000. Winston breaches the contract and Paris sues hi
zlopas [31]

Answer:

Correct Answer:

C) only $25,000.

Explanation:

In the case between Blackacre and Paris over the piece of land, the value recoverable will be the difference between the original value of the land the the newest value of the land when the breach of contract occurs. <em>Hence, the only amount recoverable by Paris would be $25, 000.</em>

7 0
3 years ago
Other questions:
  • General Electric employs a job order cost accounting system and keeps perpetual inventory records. The following transactions oc
    9·1 answer
  • According to hofstede's dimensions of cultural personality, cultures that are __________ are assertive and competitive.
    14·1 answer
  • 1. For a given meal, a chef may prefer grilling to baking because it
    6·1 answer
  • An increase in the demand for peanuts due to changes in consumer tastes, accompanied by an increase in the supply of peanuts as
    5·1 answer
  • You are the executive director of the local animal humane society. The staff you supervise have been working at the society for
    12·1 answer
  • Luxury Linens Inc. produces the highest thread-count sheets available anywhere and does so at a price that none of its competito
    12·1 answer
  • Suppose that monopolistically competitive firms in a certain market are earning positive profits. In the transition from this in
    11·1 answer
  • Review the following sources and decide if they are reliable and relevant.
    12·1 answer
  • In the context of management skills, _____ refer to the ability of managers to grasp a big-picture view of the overall organizat
    13·1 answer
  • On August 1, 20Y1, Newhouse Co. received $39,110 for the rent of land for 12 months. Journalize the adjusting entry required for
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!