User Account

All Pages

What was the return on assets

Assignment Help Accounting Basics
Reference no: EM132493935

Questions -

Q1. A fire has destroyed many of the financial records of R. Son & Co. You are assigned to put together a financial report. You have found the return on equity to be 12% and the debt ratio was 0.40. What was the return on assets?

a. 5.35%

b. 8.4%

C. 6.60%

d. 7.20%

Q2. Deb & Co. has a debt ratio of 0.50, a total assets turnover of 0.25, and a profit margin of 10%. The president is unhappy with the current return on equity, and he thinks it could be doubled. This could be accomplished (1) by increasing the profit margin and (1) by increasing debt utilization. Total assets turnover will not change. What new debt ratio, along with the 14% profit margin, is required to double the return on equity?

a. 0.75

b. 0.70

C. 0.65

d. 0.55

Reference no: EM132493935

Questions Cloud

What is Northern Divisions return on sales : Northern Division reported the following results for 2014: Annual Sales P500,000. What is Northern Divisions return on sales
Two major challenges in the problem of text analysis : 1. What are the two major challenges in the problem of text analysis?
How long would have to wait for balance : How long would you have to wait for your balance to become $120,000? (Calculate the number of periods. It's ok if you don't get an integer.)
Business continuity plans and it disaster recovery plans : What are the differences between business continuity plans and IT disaster recovery plans? Why is it important to differentiate the two?
What was the return on assets : You are assigned to put together a financial report. You have found the return on equity to be 12% and the debt ratio was 0.40. What was the return on assets
How much of monthly paycheck should put aside : How much of monthly paycheck should put aside for this trip to have $4,000 by the end of 3 years? Assume that your monthly interest rate
How can network sniffing be used to capture a password : How can network sniffing be used to capture a password? What tools would you need to use?
Determine what rate of return would need to earn : Determine What rate of return would you need to earn to have $7,000 at the end of 4 years?You have $5,000 and you would like to invest it
Insisting that all reports conform to a certain style : What are advantages and disadvantages might there be to insisting that all reports conform to a certain style?

Reviews

Write a Review

Accounting Basics Questions & Answers

  How can use the dividend yield and the dividend payout ratio

Assume that you have been given the responsibility to invest some funds in the stock market to provide an annuity to an individual who has just retired.

  Compute the net amount of deferred income taxes to be

presented below are two independent situations related to future taxable and deductible amounts resulting from

  The balance in the prepaid insurance account before

the balance in the prepaid insurance account before adjustment at the end of the year is 12000. if the additional data

  Compute the amount that sanchez company has to pay

Compute the amount that Sanchez Company has to pay to the seller for the goods

  Effects of revenue-expense and dividend events

Write an accounting equation, and record the effects of each accounting event under the appropriate general ledger account headings and prepare an income statement for the 2009 accounting period and a balance sheet at the end of 2009 for Ruff Compa..

  Discuss some of the risks associated with information

explain some of the risks associated with information assets it. consider issues such as security and protection of the

  Discuss companys cash flows from operating activities

Find the financial statements of a publicly traded company and review its statement of cash flows. Of the company's cash flows from operating activities

  Determine the amount of cost in the raw materials

Determine the amount of cost in the Raw Materials, Work in Process, and Finished Goods inventory accounts as of the date of the fire

  Labor price variance shows a 1120 unfavorable balance

labor price variance shows a 1120 unfavorable balance. factory labor shows a debit of 140600 for wages incurred. what

  The outstanding stock of glen corporation

Watkins, Inc. acquires all of the outstanding stock of Glen Corporation on January 1, 2012. At that date, Glen owns only three assets and has no liabilities:

  Prepare journal entry related to pearl depreciable assets

Pearl Company changed depreciation methods in 2017 from double-declining-balance to straight-line. Prepare 2017 journal entry related to Pearl depreciable asset

  Impact on stockholders equity of a transfer

Which of the following statements is reflects the impact on stockholders' equity of a transfer from available-for-sale to trading.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd