How much is net income for mansfield corp

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Problem 1: Torres Corp has total debt of $9m, total assets of $15m and sales of $30m. If the profit margin is 5%, what is ROE?

a. 18%

b. 15%

c. 25%

d. 10%

e. 30%

Problem 2: Mansfield Corp has an ROA of 20%, total equity of $5m and a D/E ratio of 0.5. How much is Net Income?

a. $0.5m

b. $2.5m

c. $10m

d. $1.5m

e. $5m

Reference no: EM132779339

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