Use the following balance sheet and income statement to calculate the firm's return on equity (net...
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Use the following balance sheet and income statement to calculate the firm's return on equity (net income / common equity): Balance Sheet Income Statement Assets: Cash $9,000 Sales (all credit) $255,000 Accounts Receivable 21,000 Cost of Goods Sold (153,000) Inventories 19,500 Land 44,000 Operating Expenses (45,000) Other Fixed Assets 70,000 Depreciation (3,000) Liabilities & Owners' Equity Interest Expense (9,000) Accounts Payable 12,000 Long Term Debt 53,400 Taxes (15,300) Common Stock 2,000 Paid in Capital 80,000 Retained Earnings 16,100 Use the following balance sheet and income statement to calculate the firm's return on equity (net income / common equity): Balance Sheet Income Statement Assets: Cash $9,000 Sales (all credit) $255,000 Accounts Receivable 21,000 Cost of Goods Sold (153,000) Inventories 19,500 Land 44,000 Operating Expenses (45,000) Other Fixed Assets 70,000 Depreciation (3,000) Liabilities & Owners' Equity Interest Expense (9,000) Accounts Payable 12,000 Long Term Debt 53,400 Taxes (15,300) Common Stock 2,000 Paid in Capital 80,000 Retained Earnings 16,100
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Income Statement Net sales 255000 Cost of goods sold 153000 Operating Profit 10200... View the full answer
Related Book For
Intermediate Accounting
ISBN: 978-0324592375
17th Edition
Authors: James D. Stice, Earl K. Stice, Fred Skousen
Posted Date:
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