Ask Question
15 July, 01:11

X-1 Corp's total assets at the end of last year were $395,000 and its EBIT was $52,500. What was its basic earning power (BEP) ratio?

+3
Answers (1)
  1. 15 July, 02:14
    0
    X-1 Corp Basic Earning Power ratio is 13.29%

    Explanation:

    Formula

    Basic Earning Power = Earnings Before Interest and Taxes (EBIT) / Total Assets

    Therefore the Basic Earning Power ratio for X-1 Corp is:

    $52500/$395,000 = 13.29%
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “X-1 Corp's total assets at the end of last year were $395,000 and its EBIT was $52,500. What was its basic earning power (BEP) ratio? ...” 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