A firm has a profit margin of 15 percent on sales of $20,000,000. If the firm has a debt of $7,500,000, total assets of $22,500,000, and an interest cost on a total debt of 5 percent, what is the firm's return on total assets (ROA)? (Round answer to two decimal places.)

A. 8.47%
B. 10.94%
C. 12.02%
D. 13.33%
E. 15.18%


Answer: D

Business

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