Larry's Gun Shop has sales of $189,000,a profit margin of 5.6 percent,and a capital intensity ratio of 0.79.What is the return on assets?
A)4.42 percent
B)6.08 percent
C)6.39 percent
D)6.92 percent
E)7.09 percent

Name: Larry's Gun Shop has sales of $189,000,a profit margin of 5.6 percent,and a capital intensity ratio of 0.79.What is the return on assets? A)4.42 percent B)6.08 percent C)6.39 percent D)6.92 percent E)7.09 percent
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Return on assets = (0.056 × $189,000)/(0.79 × $189,000) = 7.09 percent

Larry's Gun Shop Has Sales of $189,000,a Profit Margin of 5.6