Ask Question
BusinessBusiness
27 August, 16:33

Wiggle Pools has total equity of $358,200 and net income of $47,500. The debt-equity ratio is. 68 and the total asset turnover is 1.2. What is the profit margin?

+4
Answers (1)
  1. 27 August, 18:15
    0
    It is 6.58%

    Explanation:

    Debt-Equity Ratio = Debt/Equity

    0.68 = Debt/358,200

    Debt = 0.68 x 358,200

    Debt = $243,576

    Total Asset Turnover = Revenue / Total Asset

    Total Assets = Debt + Equity = $243,576 + $358,200=$601,776

    1.2 = Revenue/601,776

    Revenue = 1.2 x 601,776

    =$722,131.20

    Profit Margin = Net income / Revenue x 100%

    = $47,500/$722,131.20 x100%

    = 6.58%
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “Wiggle Pools has total equity of $358,200 and net income of $47,500. The debt-equity ratio is. 68 and the total asset turnover is 1.2. What ...” 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
You Might be Interested in
If a petty cash fund is established in the amount of $250, and contains $151 in cash and $94 in receipts for disbursements when it is replenished, the journal entry to record replenishment should include credits to the following accounts a.
Answers (2)
The purpose of closing entries is to close or reduce the temporary account to zero. to prepare a balance sheet. to prepare a statement of owner's equity. to prepare a trial balance.
Answers (1)
For example, the lower-left cell shows that if movietonia prices low and videotech prices high, movietonia will earn a profit of $15 million, and videotech will earn a profit of $2 million.
Answers (1)
Direct Materials Variances The following data relate to the direct materials cost for the production of 10,000 automobile tires: Actual: 145,000 lbs. at $2.80 per lb. Standard: 150,000 lbs. at $2.75 per lb. a.
Answers (1)
An imprest petty cash fund of $600 was established for minor disbursements. At the end of the month, the fund included petty cash tickets for the purchase of $200 in supplies, $73 for meals, $82 for fuel, and $67 for taxi fare.
Answers (1)
New Questions in Business
Explain how banks can create money.
Answers (1)
A city acquires a 10-foot strip of a property owner's land for a public walking trail. the owner's home is not affected and she is able to use the land. is the homeowner eligible for compensation?
Answers (1)
A company uses the newsvendor model to manage its inventories and faces normally distributed demand with a coefficient of variation of 0.75. The company decides to order a quantity that exactly equals the mean of its demand forecast.
Answers (1)
Which of the following types of advertisements is particularly expensive 1: Internet Ads 2: Newspaper Ads 3: TV infomercials 4: Radio ads
Answers (2)
Used to access a list of sales and expense transactions A customer in the Sample Company A vendor in the Sample Company Matching a banking transaction with a QBO transaction Bank deposits not yet recognized Bank charges not yet recognized Exist for
Answers (1)
Home » Business » Wiggle Pools has total equity of $358,200 and net income of $47,500. The debt-equity ratio is. 68 and the total asset turnover is 1.2. What is the profit margin?
Sign Up Forgot Password?