Question: Selected financial data for Squid Company are as follows: Required a. Compute the following for 2009, 2008, and 2007: 1. Net profit margin 2. Return

Selected financial data for Squid Company are as follows:

Selected financial data for Squid Company are as follows:

Required
a. Compute the following for 2009, 2008, and 2007:
1. Net profit margin
2. Return on assets
3. Total asset turnover
4. DuPont analysis
5. Return on investment
6. Return on total equity
7. Sales to fixed assets
b. Discuss your findings in(a).

2009 2008 2007 Summary of operations: Net sales $900,000 477,000 155,700 Cost of products sold Selling, administrative, and general expenses Nonoperating income Interest expense Eamings before income taxes Provision for income taxes Net eamings $1,002,100 980,500 514,762 167,665 8,860 12,100 277,113 113,616 163,497 520,500 170,200 9,192 14,620 287,588 116,473 171,115 6,500 11.250 249,550 105,560 143,990 Financial information: Working capital Average property, plant, and equipment S 190,400 302,500 $189,000 281,000 $180,000 173,000 2009 2008 2007 Average total assets Average long-term debt A verage stockholders' equity 839,000 120,000 406,000 770,000 112,000 369,500 765,000 101,000 342,000

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a 1 Net Profit Margin Net Income Before Minority Share of Earnings Equity Income and Nonrecurring Items Net Sales 2009 2008 2007 171115 163497 143990 ... View full answer

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