Assuming firm uses only debt and common equity

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Ratio Calculations

Assume the following relationships for the Brauer Corp.:

Sales/total assets 2.4x

Return on assets (ROA) 4%

Return on equity (ROE) 9%

Calculate Brauer's profit margin assuming the firm uses only debt and common equity. Round your answer to two decimal places. %

Calculate Brauer's debt-to-assets ratio assuming the firm uses only debt and common equity. Round your answer to two decimal places. %

Reference no: EM131867889

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