Four Finance MCQs

Question 1The Jamestown Group has equity of $421,000, sales of $792,000, and a profit margin of 6 percent. What is the return on equity?8.87 percent6.19 percent11.29 percent10.27 percent9.37 ercentQuestion 2ABC Corporation has the following ratios: Total Asset Turnover= 1.6 Total debt to total assets= 0.5 Current Ratio= 1.7 Current Liabilities= $2,000,000 Sales = $16,000,000 What is the amount of current assets?2,000,0003,200,0003,400,0001,000,000Question 3ABC’s balance sheet indicates a book value of shareholders’ equity of $897,703. The firm’s earning per share are $2.9 and the price-earnings ratio is 11.96. If there are 52,701 shares outstanding, what is the market-to-book ratio?Enter your answer rounded off to two decimal points.Hint: Market value per share is same as market price per shareQuestion 4If the debt ratio is 0.20, the Equity Multiplier is:1.250.251.200.200.801.5