Legacy cleaning has a debt ratio equal to 40 percent total, Finance Basics

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Legacy cleaning has a debt ratio equal to 40 percent total

Legacy Cleaning has a debt ratio equal to 40 percent, total assets equal to $750,000, return on assets (ROA) at 6 percent, and total assets turnover of 3.0.

(a) If it has no preferred stock, what amount of common equity does Legacy have?

(b) What is Legacy's net profit margin?

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Finance Basics: Legacy cleaning has a debt ratio equal to 40 percent total

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Finance Basics: Legacy cleaning has a debt ratio equal to 40 percent total

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