Billy Bob Corp has a profit margin (income to sales) of 3.7%. Sales-to-assets measures a ratio of 6.6x. The capital structure of BBC is 40% debt & 60% equity. What is BBC's return on equity? (Answer in % format with no % sign needed, xx.x, to the level of 10 basis points.)

Answer rating: 100% (QA)

To calculate Billy Bob Corps return on equity ROE we need to use the DuPont formula which decomposes ... View the full answer