Sandwiches-To-Go Has a Return on Equity of 12 % and a Debt-Equity

question 72

Multiple Choice

Sandwiches-To-Go has a return on equity of 12 % and a debt-equity ratio of .40. The total asset turnover is 1.63 and the profit margin is 5 %. The total equity is $21,400. What is the amount of the
Net income?

• A) $2,568
• B) $3,819
• C) $4,186
• D) $6,283
• E) $6,420

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Definitions:

Brain Drain

The migration of skilled professionals from one country to another, often for better career opportunities or living conditions.

Highly Educated Workers

Individuals who have attained a high level of education, typically resulting in specialized skills and knowledge.

Low-income Countries

Nations with a gross national income (GNI) per capita significantly lower than the global average, often characterized by limited economic resources and infrastructure.

High-income Countries

Nations with a gross national income per capita significantly above the global average, indicating advanced economic development.