Exercise 18-10

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Suppose selected comparative statement data for the giant bookseller Barnes & Noble are presented here. All balance sheet data are as of the end of the fiscal year (in millions).

		2020		2019
Net sales		$5,200		$5,800
Cost of goods sold		3,640		3,867
Net income		73		143
Accounts receivable		89		115
Inventory		1,133		1,263
Total assets		3,050		3,450
Total common stockholders equity		994		1,126

Compute the following ratios for 2020. (Round asset turnover to 2 decimal places, e.g. 1.67. Round all other answers to 1 decimal place, e.g. 1.6 or 1.6%.)

(a)		Profit margin			%
(b)		Asset turnover			times
(c)		Return on assets			%
(d)		Return on common stockholders equity			%
(e)		Gross profit rate			%

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