XYZ Corphas an Operating Profit Margin of 7%,a Debt Burden of of .8,and

question 57

Multiple Choice

XYZ Corp.has an operating profit margin of 7%,a debt burden of .8,and has financed two-thirds of its assets through equity.What asset turnover ratio is necessary to achieve an ROE of 18%?

• A) 1.26
• B) 1.61
• C) 2.14
• D) 4.02

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Definitions:

Kaufman Assessment Battery

A series of standardized tests used to assess the cognitive development and problem-solving abilities of children and adolescents.

Raven Progressive Matrices

A non-verbal group test typically used to measure abstract reasoning and regarded as a non-verbal estimate of fluid intelligence.

Stanford-Binet Scale

A standardized test that measures intelligence and cognitive abilities in individuals, originally developed to identify educational needs in children.

Wechsler Intelligence Scale

A series of standardized tests used to evaluate cognitive abilities and intellectual potential across different age groups.