The following end-of-year amounts are from the financial statements of Konstan Company: total assets, $213,000; total liabilities,

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The following end-of-year amounts are from the financial statements of Konstan Company: total assets, $213,000; total liabilities, $86,000; owner's equity, $127,000; net sales, $391,000; cost of goods sold, $243,000; operating expenses, $89,000; and withdrawals, $20,000. During the past year, total assets increased by $37,500. Total owner's equity was affected only by net income and withdrawals. Compute the
(1) Profit margin,
(2) Asset turnover,
(3) Return on assets,
(4) Debt to equity ratio, and
(5) Return on equity?
Financial Statements
Financial statements are the standardized formats to present the financial information related to a business or an organization for its users. Financial statements contain the historical information as well as current period’s financial...
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Principles of Accounting

ISBN: 978-0618736614

10th edition

Authors: Belverd Needles, Marian Powers, Susan Crosson

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