Question
Item
Total
assets $10,000,000
Total equity (all common) 9,000,000
Total debt 1,000,000
Annual interest 100,000
Total sales $25,000,000
EBIT 6,250,000
Earnings available for
common stockholders 3,690,000
I am trying to find the values for the:
(1) Operating profit margin
(2) Net profit margin
(3) Return on total assets
(4) Return on common equity
Problem is I do not know which numbers to put into the equations. Any help?
Total
assets $10,000,000
Total equity (all common) 9,000,000
Total debt 1,000,000
Annual interest 100,000
Total sales $25,000,000
EBIT 6,250,000
Earnings available for
common stockholders 3,690,000
I am trying to find the values for the:
(1) Operating profit margin
(2) Net profit margin
(3) Return on total assets
(4) Return on common equity
Problem is I do not know which numbers to put into the equations. Any help?