Question: Please show work and explanation on how you got the answers! Thank you! 7) Shown below are selected data from the financial statements of Creature
Please show work and explanation on how you got the answers! Thank you!

7) Shown below are selected data from the financial statements of Creature Inc., a hospitality training company. The amounts are in millions (except for the per share data). Income statement data: Net sales 1,510 Cost of goods sold 930 Operating expenses 210 Net S 15 Income Balance sheet data: Average total equity 2,900 Average total assets 5,100 Creature reported earnings per share for the year of $5 and paid cash dividends of $2 per share. At year-end, the Wall Street Journal listed Creature's capital stock as trading at $95 per share. Creature's return on assets was: A) 8. 75%. *B) 7. 25%. C) 17. 75%. D) 11. 37%. 8) Shown below are selected data from the financial statements of Creature Inc., a hospitality training company. The amounts are in millions (except for the per share data)- Income statement data: Net sales 1,510 Cost of goods sold 930 Operating expenses 210 Net Income 15 Balance sheet data: Average total equity 2,900 Average total assets 5,100 Creature reported earnings per share for the year of $5 and paid cash dividends of $2 per share. At year-end, the Wall Street Journal listed Creature's capital stock as trading at $95 per share. Creature's return on equity was: A) 12.8%. B) 20%. *C) 0.5%. D) 16. 5%
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
