Determining the profit margin and debt ratio

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Profit Margin and Debt Ratio

Assume you are given the following relationships for the Haslam Corporation:

Sales/total assets 2.2

Return on assets (ROA) 4%

Return on equity (ROE) 7%

Calculate Haslam's profit margin. Do not round intermediate calculations. Round your answer to two decimal places.

Calculate Haslam's liabilities-to-assets ratio. Do not round intermediate calculations. Round your answer to two decimal places.

Suppose half of Haslam's liabilities are in the form of debt. Calculate the debt-to-assets ratio. Do not round intermediate calculations. Round your answer to two decimal places.

Reference no: EM132342089

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