Compute return on stockholders equity and return on assets

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Question - Sepracor, Inc., a drug company, reported the following information. The company prepares its financial statements in accordance with GAAP.

2007 (,000)

Current liabilities - $ 554,114

Convertible subordinated debt - 648,020

Stockholders' equity - 176,413

Net income - 58,333

Compute the following ratios for Sepracor, Inc. (Assume that year-end balances approximate annual averages.)

(1) Return on assets.

(2) Return on stockholders' equity.

(3) Debt to assets ratio.

Reference no: EM131867226

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