Assets Joel de Paris, Incorporated Balance Sheet Beginning Balance Ending Balance $ 135,000 Cash Accounts receivable...

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Assets Joel de Paris, Incorporated Balance Sheet Beginning Balance Ending Balance $ 135,000 Cash Accounts receivable Inventory Plant and equipment, net Investment in Buisson, S.A. Land (undeveloped) Total assets Liabilities and Stockholders' Equity Accounts payable Long-term debt Stockholders' equity Total liabilities and stockholders' equity $ 138,000 349,000 567,000 846,000 409,000 248,000 $ 2,557,000 $ 380,000 959,000 1,218,000 486,000 477,000 842,000 429,000 252,000 $ 2,621,000 $ 349,000 959,000 1,313,000 $ 2,557,000 $ 2,621,000 Joel de Paris, Incorporated Income Statement Sales Operating expenses Net operating income Interest and taxes: $ 121,000 207,000 $ 3,840,000 3,148,800 691,200 Interest expense Tax expense Net income 328,000 $ 363,200. The company paid dividends of $268,200 last year. The "Investment in Buisson, S.A.," on the balance sheet represents an investment in the stock of another company. The company's minimum required rate of return of 15%. Required: 1. Compute the company's average operating assets for last year. 2. Compute the company's margin, turnover, and return on investment (ROI) for last year. (Do not round intermediate calculations and round your final answers to 2 decimal places.) 3. What was the company's residual income last year? 5 Assets Joel de Paris, Incorporated Balance Sheet Beginning Balance Ending Balance $ 135,000 Cash Accounts receivable Inventory Plant and equipment, net Investment in Buisson, S.A. Land (undeveloped) Total assets Liabilities and Stockholders' Equity Accounts payable Long-term debt Stockholders' equity Total liabilities and stockholders' equity $ 138,000 349,000 567,000 846,000 409,000 248,000 $ 2,557,000 $ 380,000 959,000 1,218,000 486,000 477,000 842,000 429,000 252,000 $ 2,621,000 $ 349,000 959,000 1,313,000 $ 2,557,000 $ 2,621,000 Joel de Paris, Incorporated Income Statement Sales Operating expenses Net operating income Interest and taxes: $ 121,000 207,000 $ 3,840,000 3,148,800 691,200 Interest expense Tax expense Net income 328,000 $ 363,200. The company paid dividends of $268,200 last year. The "Investment in Buisson, S.A.," on the balance sheet represents an investment in the stock of another company. The company's minimum required rate of return of 15%. Required: 1. Compute the company's average operating assets for last year. 2. Compute the company's margin, turnover, and return on investment (ROI) for last year. (Do not round intermediate calculations and round your final answers to 2 decimal places.) 3. What was the company's residual income last year? 5

Answer rating: 100% (QA)

Joel de Paris Incorporated Analysis 1 Average Operating Assets We dont have the beginning and ending ... View the full answer