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Molodets [167]
2 years ago
15

Y3K Inc has sales of 5783 total assets of 2604 and a debt equity ratio of .75. If its return on equity is 11 percent what is its

net income
Business
1 answer:
Vitek1552 [10]2 years ago
6 0

Based on the information given the net income is $163.66.

<h3>Net income</h3>

First step:

Profit margin = [(ROE)(Total asset)] / [(1 + Debt equity ratio)(Sales)]

Profit margin = [(.11)($2,604)] / [(1 + 0.75)( $5,783)]

Profit margin = 286.44/(1.75) ($5,783)

Profit margin = 286.44/10,120.25

Profit margin = .02830

Second step:

Profit margin = .02830 = Net income / Sales

Net income = .02830($5783)

Net income = $163.66

Inconclusion the net income is $163.66.

Learn more about net income here:brainly.com/question/15530787

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<h3>What is the gross domestic product?</h3>

Generally, Final products and services—i.e., those purchased by consumers—are included in GDP, which estimates the value of goods and services produced in a specific period of time.

In conclusion, Imagine that in the year 2020 you decide to buy a home that was constructed in 2014. The price that should be paid for the real estate agent's services. The total value of the real estate agent's services would be included in the calculation of the gross domestic product for the year 2020.

Read more about gross domestic product

brainly.com/question/9201016

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