Xtreme Sports Innovations has disclosed the following information: EBIT = $25,664,300 Net income = $13,054,000 Net sales
Question:
Xtreme Sports Innovations has disclosed the following information:
EBIT = $25,664,300 Net income = $13,054,000 Net sales = $83,125,336
Total debt = $20,885,753 Total assets = $71,244,863
Compute the following ratios for this firm using the DuPont identity: debt-to-equity ratio, EBIT ROA, ROA, and ROE.
Step by Step Answer:
EBIT 25664300 Net income 13054000 Net sales 83125336 Total ...View the full answer
Fundamentals of corporate finance
ISBN: 978-0470876442
2nd Edition
Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates
Related Video
The Dupont analysis is an expanded return on equity formula, calculated by multiplying the net profit margin by the asset turnover by the equity multiplier. The DuPont analysis is also known as the DuPont identity or DuPont model.This Video will guide on how to calculate return on Equity and estimate profitability of shareholders using DuPont Analysis.
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