Simon Company's year-end balance sheets follow. At December 31 Current Yr 1 Yr Ago 2 Yrs...
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Simon Company's year-end balance sheets follow. At December 31 Current Yr 1 Yr Ago 2 Yrs Ago Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net $ 32,200 88,300 111,500 10,200 279,000 $ 35,500 $ 37,800 62,000 82,600 9,350 50,000 53,500 4, 100 226,000 251,000 $440, 450 $ 371,400 Total assets $521,200 Liabilities and Equity Accounts payable Long-term notes payable secured by mortgages on plant assets Common stock, $10 par value Retained earnings $128,400 $ 73,000 $ 50,200 97,000 161,000 134,800 81,800 161,000 78,400 $440, 450 $ 371,400 98,750 161,000 107,700 Total liabilities and equity $521,200 The company's income statements for the Current Year and 1 Year Ago, follow. For Year Ended December 31 Sales Current Yr $775,000 1 Yr Ago $ 550,000 Cost of goods sold Other operating expenses Interest expense Income tax expense Total costs and expenses $472,750 240,250 11,400 9,450 $352,000 132,000 13,500 8,800 733,850 506,300 Net income $ 41,150 $ 43,700 Earnings per share 2$ 2.56 $ 2.71 For both the Current Year and 1 Year Ago, compute the following ratios: (1-a) Profit margin ratio. (1-b) Did profit margin improve or worsen in the Current Year versus 1 Year Ago? Complete this question by entering your answers in the tabs below. Required 1A Required 1B Profit margin ratio. Profit Margin Ratio Choose Numerator: | Choose Denominator: Profit Margin Ratio Profit margin ratio Current Year: % % 1 Year Ago: Required 1A Required 1B II (1-a) Profit margin ratio. (1-b) Did profit margin improve or worsen in the Current Year versus 1 Year Ago? Complete this question by entering your answers in the tabs below. Required 1A Required 1B Did profit margin improve or worsen in the Current Year versus 1 Year Ago? Profit margin < Required 1A Required 1B (2) Total asset turnover. Total Asset Turnover Choose Numerator: Choose Denominator: Total Asset Turnover Total asset turnover Current Year: times 1 Year Ago: times II Simon Company's year-end balance sheets follow. At December 31 Current Yr 1 Yr Ago 2 Yrs Ago Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net $ 32,200 88,300 111,500 10,200 279,000 $ 35,500 $ 37,800 62,000 82,600 9,350 50,000 53,500 4, 100 226,000 251,000 $440, 450 $ 371,400 Total assets $521,200 Liabilities and Equity Accounts payable Long-term notes payable secured by mortgages on plant assets Common stock, $10 par value Retained earnings $128,400 $ 73,000 $ 50,200 97,000 161,000 134,800 81,800 161,000 78,400 $440, 450 $ 371,400 98,750 161,000 107,700 Total liabilities and equity $521,200 The company's income statements for the Current Year and 1 Year Ago, follow. For Year Ended December 31 Sales Current Yr $775,000 1 Yr Ago $ 550,000 Cost of goods sold Other operating expenses Interest expense Income tax expense Total costs and expenses $472,750 240,250 11,400 9,450 $352,000 132,000 13,500 8,800 733,850 506,300 Net income $ 41,150 $ 43,700 Earnings per share 2$ 2.56 $ 2.71 For both the Current Year and 1 Year Ago, compute the following ratios: (1-a) Profit margin ratio. (1-b) Did profit margin improve or worsen in the Current Year versus 1 Year Ago? Complete this question by entering your answers in the tabs below. Required 1A Required 1B Profit margin ratio. Profit Margin Ratio Choose Numerator: | Choose Denominator: Profit Margin Ratio Profit margin ratio Current Year: % % 1 Year Ago: Required 1A Required 1B II (1-a) Profit margin ratio. (1-b) Did profit margin improve or worsen in the Current Year versus 1 Year Ago? Complete this question by entering your answers in the tabs below. Required 1A Required 1B Did profit margin improve or worsen in the Current Year versus 1 Year Ago? Profit margin < Required 1A Required 1B (2) Total asset turnover. Total Asset Turnover Choose Numerator: Choose Denominator: Total Asset Turnover Total asset turnover Current Year: times 1 Year Ago: times II
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Related Book For
Financial Accounting Information for Decisions
ISBN: 978-1259533006
8th edition
Authors: John J. Wild
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