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Homework answers / question archive / In 2020, ABC Company announced an ROA of 8
In 2020, ABC Company announced an ROA of 8.56%, ROE of 14.5%, and profit margin of 20.5%. The firm had total assets of $16.5 million at year-end 2020. marks) (2 Required: 1. Calculate the 2020 values of net income available to common stockholders. 2. Calculate the 2020 values of common stockholders' equity, 3. Calculate the 2020 values of net sales.
Value of assets 16.5 million
ROA 8.56%
Net Income available to stakeholders 16.5 million * 8.56% = 1.4124 million
ROE 14.5%
Value of Equity 1.4124 million/14.5% = 9.74 million
profit margin 20.5%
Sales Value 1.4124 million/20.5% = 6.89 million
