What is the return on equity

Assignment Help Accounting Basics

Reference no: EM13762865

Question 1: The Jamestown Group has equity of $421,000, sales of $792,000, and a profit margin of 6 percent. What is the return on equity?

8.87 percent
6.19 percent
11.29 percent
10.27 percent
9.37 ercent

Question 2: ABC Corporation has the following ratios: Total Asset Turnover= 1.6 Total debt to total assets= 0.5 Current Ratio= 1.7 Current Liabilities= $2,000,000 Sales = $16,000,000 What is the amount of current assets?

2,000,000
3,200,000
3,400,000
1,000,000

Question 3: ABC's balance sheet indicates a book value of shareholders' equity of $897,703. The firm's earning per share are $2.9 and the price-earnings ratio is 11.96. If there are 52,701 shares outstanding, what is the market-to-book ratio?
Enter your answer rounded off to two decimal points.

Hint: Market value per share is same as market price per share

Question 4: If the debt ratio is 0.20, the Equity Multiplier is:

1.25
0.25
1.20
0.20
0.80
1.5

Reference no: EM13762865

Questions Cloud

Constant growth rate-investors required rate of return : Calculate the price that you would be willing to pay for a constant growth stock that has the following characteristics: (a) Annual Dividend: $1.23, (b) Constant Growth Rate: 5.6%, and (c) Investor’s required rate of return: 6.5%.

Write pseudocode to calculate the total price of the items : Create a line on the output receipt that identifies the item its price and the sales tax applicable to that item. Keep a running total of item prices and taxes.

Compare the performance of fidelity freedom : Compare the performance of Fidelity Freedom 2010 Fund to the performance of Fidelity Freedom 2040 Fund. Explain the reasons for the difference in portfolio performance. Discuss what this suggests relating to your investments.

Describe the competitive nature of this industry : Assume that the demand for chalk is = 8 -0.1, where P is the market price and Q is the total market output measured in thousands of boxes of chalk. Suppose that there are three firms in this industry, each of which has a constant variable cost of $2...

What is the return on equity : Question 1: The Jamestown Group has equity of $421,000, sales of $792,000, and a profit margin of 6 percent. What is the return on equity?

Total cost is used to determine the price : A company has $45 per unit in variable costs and $1,200,000 per year in fixed costs. Demand is estimated to be 108,000 units annually. What is the price if a markup of 40% on total cost is used to determine the price?

What are the characteristics of structured interviews : Describe the structured interview. What are the characteristics of structured interviews that improve on the shortcomings of unstructured interviews? Develop one original situational question and an accompanying rating scale using benchmark responses..

List the three boolean operators the lionsearch accepts : List the three Boolean operators the LionSearch accepts and describe the operation each performs. Explain the difference between the query "information systems" and information systems

Part of the process of cost allocation : Which of the following is not part of the Process of cost allocation?

User Account

All Pages