South Airlines generated the following information from its financial statements: (1) P/E ratio equals 14.0, (2) common stock market price per share is $56, (3) fixed assets turnover equals 5.0, (4) current ratio equals 5.0, (5) current liabilities equal $550,000, (6) net profit margin equals 5 percent, and (7) 60,000 shares of common stock are outsta
Financial Ratios
A Ratio refers to a figure calculated as a reference to the relationship of two or more numbers and can be expressed as a fraction, proportion, percentage, or the number of times. When the number is determined by taking two accounting numbers derived from the financial statements, it is termed as the accounting ratio.
Return on Equity
The Return on Equity (RoE) is a measure of the profitability of a business concerning the funds by its stockholders/shareholders. ROE is a metric used generally to determine how well the company utilizes its funds provided by the equity shareholders.
North/South Airlines generated the following information from its financial statements: (1) P/E ratio equals 14.0, (2) common stock market price per share is $56, (3) fixed assets turnover equals 5.0, (4) current ratio equals 5.0, (5) current liabilities equal $550,000, (6) net profit margin equals 5 percent, and (7) 60,000 shares of common stock are outstanding.
A: What is North/South's
B:What is North/South's total assets turnover? Round your answer to two decimal places.
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