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Analysis Last year, PJ's Ice Cream Parlors, Inc. reported an ROE = 12.0%.
The firm's debt ratio was 40%, sales were $25 million, and the capital intensity ratio was .75 times.
What is the net income for PJ's last year? (Do not round intermediate steps.)
The net income has been calculated in the given question first by calculating the total assets. Equity portion has been computed with the help of equity ratio and total assets. The net income has been calculated by multiplying the return on equity with the equity amount.
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#20 DuPont Analysis Last year, PJ's Ice Cream Parlors, Inc. reported an ROE = 12.0%. The firm's debt ratio was 40%, sales were $25 million, and the capital intensity ratio was .75 times. What is the net income for PJ's last year? (Do not round intermediate steps.)
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