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Company's Total Assets Turnover Ratio is 5 and Equity multiplier is 1.5 times which is cal. as Net Sales/Total Assets and Total Assets/ Shareholder's equity resp. for the two ratios.

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A company has an ROA of 10 percent a 2 percent profit margin and a return on equity equal to 15 percent. What is the companys total asset turnover and what is the firm's equity multiplier?

Given: ROA = 10%, Profit margin = 2%, ROE = 15% ROA = Profit margin x Asset Turnover Therefore, Asset Turnover = ROA / Profit margin = 10 / 2 = 5% ROE = Profit margin x Asset Turnover x Equity multiplier 15 = 2 x 5 x Equity Multiplier 15 / 10 = Equity Multiplier Equity Multiplier = 1.05


If a company's return on equity is 10 percent its profit margin is 5 percent and its asset turnover is 1.57 what is it's equity multiplier?

EQUITY MULTIPLIER=Total Assets / Total Stockholders' Equity


How do you solve for equity multiplier with ROA 10 percent profit margin 2 percent and ROE 15 percent?

Equity Multiplier ROA*Equity Multiplier=ROE so, (10%)*(x)=(15%), therefore, Equity Multiplier=15%/10%= 1.5 times Total Asset Turnover Profit Margin*Total Asset Turnover = ROA, so (2%)*(x)=10%, therefore Total Asset Turnover=10%/2%= 5 times


Doublewide Dealers has an ROA of 10 percent a 2 percent profit margin?

Given: ROA = 10%, Profit margin = 2%, ROE = 15% ROA = Profit margin x Asset Turnover Therefore, Asset Turnover = ROA / Profit margin = 10 / 2 = 5% ROE = Profit margin x Asset Turnover x Equity multiplier 15 = 2 x 5 x Equity Multiplier 15 / 10 = Equity Multiplier Equity Multiplier = 1.05


How do you find a multiplier?

For a change of p percent, the multiplier is (1+p/100).


What is the multiplier for 70 percent and 20 percent off?

0.7 and 0.2


What is 2.700 percent written as a multiplier?

0.027


What multiplier do you use to find 18 percent?

0.18


What is the asset turnover ratio if the profit margin is 5 percent and the return on assets is 13.5 percent?

ROA = Net Profit Margin * Asset Turnover Asset Turnover = ROA/Profit Margin = 13.5/5 = 2.7%


What is its profit margin if a company has total assets turnover 1.5 roe5 percent and roa 3 percent?

To find the profit margin, we can use the relationship between Return on Assets (ROA), Return on Equity (ROE), and Total Assets Turnover. ROA is calculated as Net Income divided by Total Assets, while Total Assets Turnover is Net Sales divided by Total Assets. Given ROA of 3% and Total Assets Turnover of 1.5, we can express the profit margin as follows: Profit Margin = ROA / Total Assets Turnover = 3% / 1.5 = 2%. Thus, the profit margin for the company is 2%.


Needham pharmaceuticals has a profit margin of 3 percent and an equity multiplier of 2.0 its sales are 100 million and it has total assets of 50 million what is its roe?

ROE= profit margin × total assets turnover × equity multiplier ROE= ( Net income / sales ) × ( sales / total assets ) × ( total assets / common equity ) ROE= 3% × ( 100/50)×2 ROE = 3% × 4 = 12 %


What is the multiplier that will increase an amount by 15 percent?

N x 1.15