solution

Northwest Lumber had a
profit margin of 5.25%, a total assets turnover of 1.5, and an equity
multiplier of 1.8. What was the firm’s ROE?

ROEN

b) Vang Corp.’s stock
price at the end of last year was $33.50 and its earnings per share for the
year were $2.30. What was its P/E ratio?

P/E Ratio =

c) Helmuth Inc.’s latest
net income was $1,250,000, and it had 225,000 shares outstanding. The company
wants to pay out 45% of its income. What dividend per share should it declare?

DPS-

a) Orono Corp’s sales
last year were $435,000, its operating costs were $362,500, and its interest
charges were $12,500. What was the firm’s times-interest-eamed (TIE) ratio?

TIE-