The company's profit margin is [ percent. (Use year-end figures rather than average values where appropriate....
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The company's profit margin is [ percent. (Use year-end figures rather than average values where appropriate. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) The total asset turnover is answer to 2 decimal places, e.g., 32.16.) The equity multiplier is times. (Round your times. (Round your answer to 2 decimal places, e.g., 32.16.) Using the Du Pont Identity, the company's ROE IS percent. (Do not round Intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Current assets Cash Assets 2014 2015 SMOLIRA GOLF CORP. 2014 and 2015 Balance Sheets Liabilities and Owners' Equity 2014 2015 Accounts receivable Inventory $ 24,096 12,948 26,242 $ 24,600 Current liabilities Accounts payable $ 23,684 $ 27,600 15,700 Notes payable 14,000 11,300 27,600 Other 12,071 18,100 Total $ 63,286 $ 67,900 Total $ 49,755 $ 57,000 Long-term debt $ 74,000 $ 82,000 Owners' equity Common stock and paid-In $ 48,000 $ 48,000 surplus Accumulated retained 221,226 242,000 earnings Fixed assets Net plant and equipment $329,695 $ 361,100 Total $269,226 $290,000 Total assets $ 392,981 $429,000 Total liabilities and owners' equity $ 392,981 $429,000 Sales SMOLIRA GOLF CORP. 2015 Income Statement Cost of goods sold $ 414,290 265,500 Depreciation 57,700 Earnings before Interest $ 91,090 and taxes Interest paid 14.800 Taxable Income Taxes (40%) Net Income Dividends $25,000 Retained earnings 20,774 $ 76,290 30,516 $ 45,774 The company's profit margin is [ percent. (Use year-end figures rather than average values where appropriate. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) The total asset turnover is answer to 2 decimal places, e.g., 32.16.) The equity multiplier is times. (Round your times. (Round your answer to 2 decimal places, e.g., 32.16.) Using the Du Pont Identity, the company's ROE IS percent. (Do not round Intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Current assets Cash Assets 2014 2015 SMOLIRA GOLF CORP. 2014 and 2015 Balance Sheets Liabilities and Owners' Equity 2014 2015 Accounts receivable Inventory $ 24,096 12,948 26,242 $ 24,600 Current liabilities Accounts payable $ 23,684 $ 27,600 15,700 Notes payable 14,000 11,300 27,600 Other 12,071 18,100 Total $ 63,286 $ 67,900 Total $ 49,755 $ 57,000 Long-term debt $ 74,000 $ 82,000 Owners' equity Common stock and paid-In $ 48,000 $ 48,000 surplus Accumulated retained 221,226 242,000 earnings Fixed assets Net plant and equipment $329,695 $ 361,100 Total $269,226 $290,000 Total assets $ 392,981 $429,000 Total liabilities and owners' equity $ 392,981 $429,000 Sales SMOLIRA GOLF CORP. 2015 Income Statement Cost of goods sold $ 414,290 265,500 Depreciation 57,700 Earnings before Interest $ 91,090 and taxes Interest paid 14.800 Taxable Income Taxes (40%) Net Income Dividends $25,000 Retained earnings 20,774 $ 76,290 30,516 $ 45,774
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To calculate the companys profit margin total asset turnover equity multiplier and return on equity ROE using the Du Pont Identity we need to gather t... View the full answer
Related Book For
Fundamentals of Corporate Finance
ISBN: 978-0077861704
11th edition
Authors: Stephen Ross, Randolph Westerfield, Bradford Jordan
Posted Date:
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