Its annual sales are 145 million its average tax rate is 30


The W.C. Pruett Corp. has $500,000 of interest-bearing debt outstanding, and it pays an annual interest rate of 8%. In addition, it has $600,000 of common stock on its balance sheet. It finances with only debt and common equity, so it has no preferred stock. Its annual sales are $1.45 million, its average tax rate is 30%, and its profit margin is 3%. What are its TIE ratio and its return on invested capital (ROIC)? Round your answers to two decimal places.

Request for Solution File

Ask an Expert for Answer!!
Financial Management: Its annual sales are 145 million its average tax rate is 30
Reference No:- TGS02707925

Expected delivery within 24 Hours