Last Year, PJ's Ice Cream Parlors, Inc

question 31

Multiple Choice

Last year, PJ's Ice Cream Parlors, Inc. reported an ROE = 12 percent. The firm's debt ratio was 40 percent, sales were $25 million, and the capital intensity ratio was 0.75 times. What is the net income for PJ's last year?

• A)$1.35m
• B)$2.40m
• C)$3.00m
• D)$18.75m

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