Answered: High mountain foods has an equity…

High mountain foods has an equity multiplier of 1.72 a total asset turnover of 1.16 and a profit margin of 4.5 percent. What is the return on assets?

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter3: Evaluation Of Financial Performance

Section: Chapter Questions

Problem 4P

See similar textbooks

Related questions

Q: Damietta Furniture Corporation has a net profit margin of 15% and a total asset turnover of 1.7.…

A: Return on assets (ROA) or Return on total assets is one of the profitability ratios which is used to…

Q: RY Corporation had a profit margin of 6.25%, a total assets turnover of 1.5, and an equity…

A: Return on equity (ROE): ROE measure the profitability of the organization in relation to the equity.…

Q: Sandhill, Inc., a manufacturer of electrical supplies, has an ROE of 23.1 percent, a profit margin…

A: Equity Multiplier is ratio that show leverage of an entity. It is computed by dividing total assets…

Q: CalcTech has $1.3M in current assets and $550,000 in fixed assets less $200,000 in accumulated…

A: Equity is the owner fund in the business which is payable to the members or shareholder at the time…

Q: What is the equity multipier on 4% profit margin, a total asset turnover of 2 and return on equity…

A: Profit Margin = Net Income / Net Sales Total Asset Turnover Ratio = Net Sales / Total Assets…

Q: A company has a profit margin of 6%, a total asset turnover ratio of2, and an equity multiplier of…

Q: Triangular Chemicals has total assets of $107 million, a return on equity of 42%, a net profit…

A: Return on Equity = Net IncomeShareholder's Equity Net Profit Margin = Net IncomeSalesx100 Equity…

Q: De Marco Corporation has total assets of $5 million and an asset turnover ratio of 4. If net income…

A: Total Assets =$5 million Asset Turnover Ratio = 4 Net Income =$2 million Asset Turnover Ratio =…

Q: Y3K, Inc., has sales of $6,319, total assets of $2,935, and a debt-equity ratio of 1.30. If its…

A: Given the following information: Sales: $6,319 Total assets: $2,935 Debt equity ratio: 1.30 Return…

Q: a firm has an a profit margin of 3.8% and an equity multiplier of 1.90. its sales are 166.0 mil usd,…

A: Using Dupont's ROE decomposition formula,ROE = Net income / Equity = Net income / Sales x Sales /…

Q: Hank's Motor Works has total assets of $698,400, long-term debt of $289,500, total equity of…

A: Given the following information: Total assets: $698,400 Long-term debt: $289,500 Total equity:…

Q: Loreto Inc. has the following financial ratios: asset turnover = 2.00; net profit margin (i.e., net…

A: Here, Asset turnover = 2.00 Net profit margin = 4% Payout ratio = 35% Equity/ assets = 0.30 To Find:…

Q: A firm has a net income of 10 million and a debt ratio of 60%. Its sales are 200 million and it has…

A: Formulas to be used where ROE = Return on equity Equity ratio = 1 - debt ratio

Q: A company has a profit margin of 8.87%, total asset turnover of 2.81, assets of $67, 000 and…

A: Return on equity (ROE) is a financial metric which aims at measuring the returns earned on equity…

Q: Determine the Net Profit Margin, Assets Turnover Ratio, ROA, ROE and Return on Invested Capital…

A: Net Profit Margin: This ratio tells how much profit is produced as a percentage of sales. Asset…

Q: Y3K, Inc., has sales of $4,600, total assets of $3,270, and a debt-equity ratio of 1.40. If its…

A: Dear student first we need to calculate the value of equity from above figures with the help of the…

Q: Matbach Industries has $930,000 in current assets and $470,000 in fixed assets less $180,000 in…

A: Introduction: A firm's equity is the amount of shareholders share left in the company after meeting…

Q: Using the ratios below, summarize the financial performance of the company. LIQUIDITY RATIOS…

A: LIQUIDITY RATIOS Current Ratio (times) 1.75 Quick Ratio (times) 0.52 Average…

Q: jPhone, Inc., has an equity multiplier of 1.35, total asset turnover of 1.63, and a profit margin of…

A: Equity Multiplier = 1.35 Total Asset Turnover = 1.63 Profit Margin = 7%

Q: XTY Company has total assets turnover ratio of 1.90 and a return on total assets of 7.20%. What is…

A: Asset turnover ratio = 1.90 Return on assets = 7.20%

Q: A company has a Return on Equity of 0.23, a Profit Margin of 0.1 and Total Asset Turnover of 0.4.…

A: As per Dupont Analysis, Return on equity = Net Profit Margin * Asset Turnover ratio * Equity…

Q: General Electric has a ROA of 11%, a 3.5% profit margin, and a ROE of 14.5%. What is its total…

A: Given: ROA = 11% Profit margin = 3.5% ROE = 14.5%

Q: If Average assets and capital are 900,000 and 540,000, respectively, with a net income of 47,520,…

A: Return on equity is a type of financial ratio of a company. Return on equity is a performance…

Q: A firm has sales of $800, total assets of $500, and a debt/equity ratio of 1.5. If its return on…

A: We have: Sales: $800Total Assets: $500Debt/Equity Ratio: 1.5Return On Equity (RoE) =0.18

Q: DTO, Inc., has sales of ₱15 000 000, total assets of ₱12.6 million, and total debt of ₱ 5.6 million.…

A: Sales = 15000000 Total assets = 1260000 Total debt = 560000 Equity = Assets - debts = 1260000 -…

Q: The Inside Door has total debt of $208,600, total equity of $343,560, and a return on equity of…

A: Return on assets is determined to know the quantum of benefits an entity can receive by using its…

Q: Henderson’s Hardware has an ROA of 11%, a 6% profit margin, andan ROE of 23%. What is its total…

A: A quantitative method that provides information about the company including its liquidity,…

Q: How much did Guo pay in cash dividends, and what were its average return on assets?

Q: Triangular Chemicals has total assets of $99 million, a return on equity of 41 percent, a net…

A: The firm sales can be calculated with the help of ROE equation

Q: Midwest Lumber had a profit margin of 5.1%, a total assets turnover of 1.6, and an equity multiplier…

A: Profit Margin = Profit / Sales Asset Turnover = Sales / Assets Equity Multiplier = Asset / Equity…

Q: DD has an ROA of 10% , a 2% profit margin, and a return on equity equal to 15%. What is the…

A: Given: Return on Assets (ROA) = 10% Profit Margin = 2% Return on Equity = 15%

Q: Red Fire has a Debt/Equity Ratio of .15, and Equity Multiplier of 1.15, a return on sales of 6.4,…

A: Here, Debt Equity Ratio is 0.15 Equity Multiplier is 1.15 Return on Sales is 6.4 Asset Turnover is…

Q: he balance sheet and income statement for the J. P. Robard Mfg. Company are as follows:…

A: Ratios formulas: Current ratio = Current assets /Current liabilities Times interest earned ratio =…

Q: A firm has a ROE of 16.875%, asset turnover of 2.5, and an equity multiplier of 1.5. If the firm has…

A: Net Income: It is a computation that estimates the amount of total incomes that surpass total costs.…

Q: River Corp's total assets at the end of last year were $405,000 and its net income was $32,750. What…

A: The return on total assets is calculated as ratio of net income and total assets

Q: For fiscal year 2015, Costco Wholesale Corporation (COST) had a net profit margin of 2.05%, asset…

A: Here, Net Profit Margin is 2.05% Asset Turnover Ratio is 3.48 Equity Multiplier is 3.15

Q: Easter Egg and Poultry Company has $1,760,000 in assets and $608,000 of debt. It reports net income…

A: The profit margin on sales is the ratio of net income to sales. The profit margin on sales is…

Q: A company has a Return on Equity of 0.2, a Profit Margin of 0.12 and Total Asset Turnover of 0.48.…

A: Return on Equity can be calculated using the DuPont formula. It breaks the calculation using three…

Q: Boe Company has owners’ equity of P400,000 and net income of P66,000. It has a payout ratio of 20%…

A: Equity means the amount of capital which is contributed by the shareholders. This amount represents…

Q: A company has a Returm on Equity of 0.39, a Profit Margin of 0.2 and Total Asset Turnover of 0.55.…

A: Here, Return on Equity is 0.39 Profit Margin is 0.2 Total Asset Turnover is 0.55

Q: Baker Industries has a profit margin of 3%, a total asset turnover of 2, total assets of $60…

A: Du Pont analysis is used to determine the return on equity on a stock. This is calculated by…

Q: What is the return on assets? Return on Stockholders' equity? If the firm has a asset turnover ratio…

A: Ratio analysis: The analysis of a company using the financial ratios and comparing its trends and…

Question

100%

High mountain foods has an equity multiplier of 1.72 a total asset turnover of 1.16 and a profit margin of 4.5 percent. What is the return on assets?

Video Video

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step 3

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 3 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, finance and related others by exploring similar questions and additional content below.

Similar questions

jPhone, Inc., has an equity multiplier of 1.44, total asset turnover of 1.73, and a profit margin of 11 percent. What is the company's ROE?
If Rooters, Inc., has an equity multiplier of 1.90, total asset turnover of 1.20, and a profit margin of 8 percent, what is its ROE?
Waldale Pools has total equity of $289,100 and net income of $64,500. The debt-equity ratio is 0.4 and the total asset turnover is 1.6. What is the profit margin ?
A firm has a ROE of 16.875%, asset turnover of 2.5, and an equity multiplier of 1.5. If the firm has sales revenue of $10,000, what is the net income?
If Roten Rooters, Inc., has an equity multiplier of 2.46, total asset turnover of 1.63, current ratio of 2.20, and profit margin of 11.6 percent, then its ROE is _______%. Round it to two decimal places.
RY Corporation had a profit margin of 6.25%, a total assets turnover of 1.5, and an equity multiplier of 1.8. What was the firm’s return on equity?
Henderson’s Hardware has an ROA of 11%, a 6% profit margin, andan ROE of 23%. What is its total assets turnover? What is its equity multiplier?
Green Fire has an equity multiplier of 1.35, a return on assets of 15 percent, a total asset turnover of 1.2, and a ROS of 12.5 percent, and a Debt/Equity Ratio of .35. What is its ROE?
A firm has a debt-equity ratio of 57 percent, a total asset turnover of 1.12, and a profit margin of 4.9 percent. The total equity is $511,640. What is the amount of the net income?
Easter Egg and Poultry Company has $1,760,000 in assets and $608,000 of debt. It reports net income of $100,000. a. What is the firm’s return on assets? (Enter your answer as a percent rounded to 2 decimal places.) b. What is its return on stockholders’ equity? (Enter your answer as a percent rounded to 2 decimal places.) c. If the firm has an asset turnover ratio of 3.5 times, what is the profit margin (return on sales)? (Enter your answer as a percent rounded to 2 decimal places.)
A firm has a return on equity of 27 percent. The total asset turnover is 1.6 and the profit margin is 6 percent. The total equity is $4,520. What is the amount of the net income?
Using the Du Pont method, evaluate the effects of the following relationships for the Butters Corporation. a. Butters Corporation has a profit margin of 5 percent and its return on assets (investment) is 22.5 percent. What is its assets turnover? (Round your answer to 2 decimal places.) b. If the Butters Corporation has a debt-to-total-assets ratio of 55.00 percent, what would the firm's return on equity be? (Input your answer as a percent rounded to 2 decimal places.) c. What would happen to return on equity if the debt-to-total-assets ratio decreased to 50.00 percent? (Input your answer as a percent rounded to 2 decimal places.)