Company ABC has the following financial information for the year ended December 31, 2022:

Sales revenue: $500,000
Cost of goods sold: $250,000
Operating expenses: $100,000
Interest expense: $10,000
Income tax expense: $20,000
Calculate the following financial ratios for Company ABC:

a) Gross profit margin
b) Operating profit margin
c) Net profit margin
d) Return on assets (ROA)
e) Return on equity (ROE)

Show all calculations and round to two decimal places.

Answer rating: 100% (QA)

The detailed answer for the above question is provided below a Gross profit margin The formula for g... View the full answer