A firm has a profit margin of 15 percent on sales of
A firm has a profit margin of 15 percent on sales of $20,000,000. If the firm has total debt of $7,500,000, total assets of $22,500,000, what is the firm’s Return on Equity [ROE]? show work
a. 10.9%
b. 12.0%
c. 13.3%
d. 20.0%
e. 40.0%
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