Firm A has a return on Equity (ROE) equal to 24%, while firm B has an ROE of 15% during the same year. Both firms have a total liabilities ratio (Total liabilities/Assets) equal to 0.8. Firm A has an asset turnover ration of 0.8, while firm B has an asset turnover ratio equal to 0.4. From this information, which of the two firms has a higher profit margin? Show calculations and profit margins for both firms. (Hint: Use Dupont equation)

The next dividend payment by savitz, inc., will be $2.08 per share. the dividends are anticipated to maintain a growth rate of 6 percent forever. if the stock currently sells for $42 per share, what is the required return?

Which value describes the desire to be one’s own boss? a. autonomy b. status c. security d. entrepreneurship

The following pertains to smoke, inc.’s investment in debt securities: on december 31, year 3, smoke reclassified a security acquired during the year for $70,000. it had a $50,000 fair value when it was reclassified from trading to available-for-sale. an available-for-sale security costing $75,000, written down to $30,000 in year 2 because of an other-than-temporary impairment of fair value, had a $60,000 fair value on december 31, year 3. what is the net effect of the above items on smoke’s net income for the year ended december 31, year 3?