Ask Question
23 July, 23:48

Motorola Credit Corporation's annual report: (dollars in millions) Net revenue (sales) $ 283 Net earnings 156 Total assets 2,105 Total liabilities 1,831 Total stockholders' equity 274 a. Find the total debt to total assets ratio. (Round your answer to the nearest hundredth percent.) Total debt to total assets % b. Find the return on equity ratio. (Round your answer to the nearest hundredth percent.) Return on equity % c. Find the asset turnover ratio. (Round your answer to the nearest cent.) Asset turnover d. Find the profit margin ratio on net sales. (Round your answer to the nearest hundredth percent.) Profit margin %

+4
Answers (1)
  1. 24 July, 01:12
    0
    a.

    Total debt to total assets ratio is simply equal to Total Debt/Total Asset = 1,832/2,105 = 87.03%

    b.

    Return on equity is equal to Net income/Total equity = 156/274 = 56.93%

    c.

    Asset turnover ratio is equal to Revenue/Total asset = 283/2,105 = 0.1344

    d.

    Net profit margin is equal to Net income/Revenue = 156/283 = 55.12%
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “Motorola Credit Corporation's annual report: (dollars in millions) Net revenue (sales) $ 283 Net earnings 156 Total assets 2,105 Total ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers