The following information pertains to Dallas Company. Assume that all balance sheet amounts represent both average and
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The following information pertains to Dallas Company. Assume that all balance sheet amounts represent both average and ending balance figures and that all sales were on credit.
Assets | |
Cash and short-term investments | $44,334 |
Accounts receivable (net) | 27,361 |
Inventory | 28,276 |
Property, plant, and equipment | 222,215 |
Total Assets | $322,186 |
Liabilities and Stockholders' Equity | |
Current liabilities | $60,107 |
Long-term liabilities | 95,823 |
Common stock, $20 par | 102,660 |
Retained earnings | 63,596 |
Total Liabilities and stockholders' equity | $322,186 |
Income Statement | |
Sales | $87,471 |
Cost of goods sold | 39,362 |
Gross margin | $48,109 |
Operating expenses | 22,316 |
Net income | $25,793 |
Number of shares of common stock | 5,133 |
Market price of common stock | $20 |
Dividends per share | $1.00 |
Cash provided by operations | $40,000 |
What is the return on stockholders' equity?
a.1.4%
b.40.6%
c.4.0%
d.5.0%
Related Book For
Fundamental Managerial Accounting Concepts
ISBN: 978-0078025655
7th edition
Authors: Thomas Edmonds, Christopher Edmonds, Bor-Yi Tsay, Philip Old
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