What is the firm''s roa

Assignment Help Finance Basics
Reference no: EM131409531

A firm has a profit margin of 15 percent on sales of $20,000,000. If the firm has debt of $7,500,000, total assets of $22,500,000, and an after-tax interest cost on total debt of 5 percent, what is the firm's ROA?

a. 8.4%

Reference no: EM131409531

Questions Cloud

Compare and contrast agile development approaches : This is one of the classic case studies on the manner in which an organization adopts agile project management and makes the organization more competitive and successful. It highlights the best practices and critical success factors that contribut..
Explain friend who willing to help you monitor your progress : Identify friends and family members who are willing to help you monitor your progress and tell you when they see the positive behaviors replacing the old, negative habits.
How do you manage fact that human beings develop stereotypes : How do you we manage the fact that human beings develop stereotypes? Is there such a thing as a good stereotype from creating unfairness in management decisions?
What is the ph at the equivalence point : Using the attached table, calculate the standard entropy change for the following reaction at 25°C: Ca(OH)2(s) ---- CaO(s) + H2O(g) 50.0 mL of a 0.100 M CH3COOH solution is titrated with 0.100 M NaOH. What is the pH at the equivalence point?
What is the firm''s roa : A firm has a profit margin of 15 percent on sales of $20,000,000. If the firm has debt of $7,500,000, total assets of $22,500,000, and an after-tax interest cost on total debt of 5 percent, what is the firm's ROA?
What documentation you will provide with your system : Ray and Jason have just finished developing the documentation for a system your team recently completed. Ray insists that the documentation should be printed in booklet format and included with the system. Jason insists that paper manuals are outd..
What is the current market value of elite''s bond : Eleven years ago, Elite Elements issued a 15-year bond with a $1,000 face value and a 5 percent coupon rate of interest (paid semiannually). If investors require a return equal to 7 percent to invest in similar bonds, what is the current market va..
Evaluate online tutorials and online communities : Evaluate online tutorials and online communities in regard to helping users. Create an argument for the approach you find to be the most effective and explain why.From the e-Activity, evaluate at least two sites or tools for developing end user do..
Required to neutralize 1ml of stock sulfuric acid : How many mL of 6M NaOH would be required to neutralize 1mL of stock sulfuric acid? (stock %assay 98%)

Reviews

Write a Review

Finance Basics Questions & Answers

  Bond maturing in two years and priced

You own a 5% bond maturing in two years and priced at 87%. Suppose that there is a10% chance that at maturity the bond will default and you will receive only 40% of thepromised payment. What is the bond's promised yield to maturity? What is its e..

  Pink corporation has two shareholders

Pink Corporation acquired land and securities in a § 351 tax-free exchange in 2011. On the date of the transfer, the land had a basis of $720,000 and a fair market value of $1 million, and the securities had a basis of $110,000 and a fair market valu..

  Annualize the quarterly dividend growth rate

Because LLY pays dividends quarterly, calculate the quarterly percentage change in the dividends. Now, calculate the compound quarterly growth rate of the dividends using the GEOMEAN function.

  What is your total percentage return on this investment

One year ago, you purchased 500 shares of Best Wings, Inc. stock for $4,800. The company pays an annual dividend of $.10 per share. Today, you sold all of your shares for $7,800. What is your total percentage return on this investment? please show..

  Bart industries is about to be purchased by kramer

bart industries is about to be purchased by kramer enterprises. both firms are in the rocks and mineral

  How do firms use commercial paper to raise

How do firms use commercial paper to raise short-term funds? Who can issue commercial paper? Who buys commercial paper?

  List at least three features you would look for in a bank

List at least three features you would look for in a bank. Calculate the ROI dollar amount and percentage for these example investments.

  Compute the predetermined overhead rate for the year

Determine the amount of overhead applied to production during the year. Compute the predetermined overhead rate for the year.

  Why do you think the choice of entry mode joint venture

why do you think the choice of entry mode joint venture suits the company in terms of scale risk level return level

  What is a venture contribution profit margin

What is a venture’s contribution profit margin?

  In what ways did martha stewarts control of the company

In what ways did Martha Stewart's control of the company impair its ability to respond to external challenges?- What changes in the makeup of the board would have improved governance?

  Compute the new price of the bond

Tom Cruise Lines, Inc., issued bonds five years ago at $1,000 per bond. These bonds had a 20-year life when issued and the annual interest payment was then 13 percent.

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!

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