Question: Compute the following ratios 1) Return on Assets 2) Receivables Turnover 3) Current Ratio 4) Profit Margin 5) Times Interest Earned Bosch Corporation Income Statement

Compute the following ratios 1) Return on Assets 2) Receivables Turnover 3) Current Ratio 4) Profit Margin 5) Times Interest Earned Bosch Corporation Income Statement For the Year Ending December 31, 201X Sales (on credit) $ 2,000,000 Less: Cost of Goods Sold 1,200,000 Gross Profit 800,000 Less: Selling and Admin Expenses 450,000 Operating Profit (EBIT) 350,000 Less: Interest Expense 25,000 Earnings before Taxes (EBT) 325,000 Less: Taxes 130,000 Earnings after Taxes (EAT) $ 195,000 Bosch Corporation Balance Sheet December 31, 201X ASSETS Current Assets: Cash $ 50,000 Marketable Securities 30,000 Accounts Receivable (Net) 300,000 Inventory 200,000 Total Current Assets 580,000 Investments 100,000 Plant and Equipment 420,000 Total Assets $ 1,100,000 LIABILITIES AND STOCKHOLDERS EQUITY Current Liabilities:Accounts Payable $ 100,000 Notes Payable 50,000 Accrued Taxes 30,000 Total Current Liabilities 180,000 Long Term Liabilities: Bonds Payable $ 300,000 Total Liabilities 480,000 StockholdersEquity Preferred Stock, $100 par value 200,000 Common Stock, $5 par value 100,000 Common paid in excess of par 100,000 Retained Earnings 220,000 Total StockholdersEquity $ 620,000 Total Liabilities and Equity $ 1,100,000

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