A company has sales of $200 million, NOPAT of $12 million, netincome of $8 million, net operating working capital (NOWC) of $10million, total net operating capital of $100 million, and total assetsof $110 million. What is its operating profitability (OP) ratio? (6%) Itscapital requirement (CR) ratio? (50%) Its return on invested capital(ROIC)? (12%)

A company has sales of $200 million, NOPAT of $12 million, netincome of $8 million, net operating working capital (NOWC) of $10million, total net operating capital of $100 million, and total assetsof $110 million. What is its operating profitability (OP) ratio? (6%) Itscapital requirement (CR) ratio? (50%) Its return on invested capital(ROIC)? (12%)

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter7: Analysis Of Financial Statements

Section: Chapter Questions

Problem 6P

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