Estimating return on total assets

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Use the following information from a firm's pro forma (i.e., projected or forecasted) financial statements to calculate the following profitability ratios for the firm, assuming that all stocks are common stocks:(a) net profit margin; (b) return on total assets; (c) return on equity; (d) price-earnings ratio. Sales $150 million Net income 12 million Total Assets 600 million Stockholders' Equity 200 million Number of Common Stock Shares 4 million Price per share of common stock $50.00

Reference no: EM1368604

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