Provide correct answer this question Morrison Motors has total equity of$289,100 and net income of $64,500. Thedebt-equity ratio is 0.45 and the total assetturnover is 1.6. What is the profit margin?a) 3.10 percentb) 5.23 percentc) 5.67 percentd) 8.21 percente) 9.62 percent

Step 1: Calculate Total Debt using the Debt-Equity Ratio.Step 2: Calculate Total Assets by adding…

Answered: Morrison Motors has total equity of…

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter15: Financial Statement Analysis

Section: Chapter Questions

Problem 6MCQ

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Damietta Furniture Corporation has a net profit margin of 15% and a total asset turnover of 1.7. What is Damietta Furniture's return on total assets (ROA)? Select one: O a. 11.1% O b. 12.3% c. 8.8% O d. 25.5%
Silas 4-Wheeler, Inc. has an ROE of 18.72 percent, equity multiplier of 2.00, and a profit margin of 18.00 percent. What is the total asset turnover and the capital intensity? (Round your answers to 2 decimal places.)
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Compute Return on assets ratio if Net Income:2.026 ; Sales:17.193 ;Total Assets: 31.483 ; Total Equity: 12.804.a) 6.44%b) 11.78%c) 14.00%d) 13.00%
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Briggs Company has operating income of $45,760, invested assets of $143,000, and sales of $457,600. Use the DuPont formula to compute the return on investment. If required, round your answers to two decimal places. a. Profit margin % b. Investment turnover c. Return on investment %
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Glenboro fire prevention has profit margin of 8.50%, asset turnover 2.05,and ROE 18.44.Calculate debt equity ratio
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