What is return on equity and price-earnings ratio

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1. The Next Life has sales of $450,000, total assets of $150,000, total debt of $90,000 and a profit margin of 6.2 percent. What is the return on assets? What is return on equity?

2. The Green House has a profit margin of 7.0 percent on sales of $300,000. The firm currently has 15,000 shares of stock outstanding at a market price of $15.50 per share. What is the price-earnings ratio?

3. The Black House has total sales of $900,000 and a profit margin of 4%. Currently, the firm has 11,000 shares outstanding. What are the earnings per share?

Reference no: EM131045676

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