What percent would its roe increase

Assignment Help Financial Management

Reference no: EM13971000

Tapley Dental Supply Company has the following data: Net income: $240 Sales: $10,000 Total assets: $6,000 Debt ratio: 75% TIE ratio: 2.0 Current ratio: 1.2 If Tapley could streamline operations, cut operating costs, and raise net income to $520, without affecting sales or the balance sheet (the additional profits will be paid out as dividends), by what percent would its ROE increase? Round your answer to the nearest 1 decimal place.

Reference no: EM13971000

Questions Cloud

Estimate the market value of one share of stock : The Charleston Company is a relatively small, privately owned firm. Last year the company had after-tax income of $20,000, and 15,000 shares were outstanding. The owners were trying to determine the market value for the stock, prior to taking the com..

Sustainable competitive advantage : Discuss the following "Sustainable competitive advantage only functions well in theory and is impossible in practice.

What is the angular velocity of the merry-go-round : A playground merry-go-round has a radius of 3.0 m and a rotational inertia of 603 kg. m2. It is initially spinning at 0.80 rad/s when a 20-kg child crawls from the center to the rim. When the child reaches the rim, What is the angular velocity of ..

Essential elements of organizational effectiveness : Which one of the following systems context models uses a contemporary triad and illustrates essential elements of organizational effectiveness

What percent would its roe increase : Tapley Dental Supply Company has the following data: Net income: $240 Sales: $10,000 Total assets: $6,000 Debt ratio: 75% TIE ratio: 2.0 Current ratio: 1.2 If Tapley could streamline operations, cut operating costs, and raise net income to $520, with..

Contributors to net income : Question 1:Contributors to net income include all of the following except:

IRA account by the due date : Jack is single, age 65 has made a contribution of $8200 to the traditional IRA account in 2014. How much will be the excise tax in 2014 if Jack withdraws $2200 from the IRA account by the due date?

What was the rationale behind the rule : Why was the best evidence rule implemented into the U.S. court system?

Calculate employers contributions : A company contributes 11% of total compensation into Profit Sharing Plans on the basis of Age Weighted Plan. It uses 8% as interest factor and pays the following compensation to its three employees: Elizabeth (age 55): $175,000; Santiago (age 41): $1..

User Account

All Pages