What is the firm's PM (Profit Margin)? What is the firm's TAT (Total Asset Turnover)? BALANCE SHEET

What is the firm's PM (Profit Margin)?

What is the firm's TAT (Total Asset Turnover)?

 

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BALANCE SHEET Cash Accts. receivable Inventories Total current assets Net plant & equip. Total assets INCOME STATEMENT Net sales Operating costs Depreciation EBIT Less: Interest EBT Less: Taxes Net income $ 140.0 880.0 1,320.0 $2,340.0 1,660.0 $4,000.0 $6,000.0 5,599.8 100.2 $ 300.0 96.0 $ 204.0 81.6 $122.4 OTHER DATA Annual Principal and Lease Payments Shares outstanding (millions) Common dividends (millions) Interest rate on N/P and long-term bonds Federal plus state income tax rate Year-end stock price Accounts payable Notes payable Accruals Total current liabilities Long-term bonds Total debt Common stock Retained earnings Total common equity Total liabilities & equity $ 800.0 600.0 400.0 $1,800.0 1,000.0 $2,800.0 200.0 1,000.0 $1,200.0 $4,000.0 0.00 60.00 $42.8 6.0% 40% $30.60 BALANCE SHEET Cash Accts. receivable Inventories Total current assets Net plant & equip. Total assets INCOME STATEMENT Net sales Operating costs Depreciation EBIT Less: Interest EBT Less: Taxes Net income $ 140.0 880.0 1,320.0 $2,340.0 1,660.0 $4,000.0 $6,000.0 5,599.8 100.2 $ 300.0 96.0 $ 204.0 81.6 $122.4 OTHER DATA Annual Principal and Lease Payments Shares outstanding (millions) Common dividends (millions) Interest rate on N/P and long-term bonds Federal plus state income tax rate Year-end stock price Accounts payable Notes payable Accruals Total current liabilities Long-term bonds Total debt Common stock Retained earnings Total common equity Total liabilities & equity $ 800.0 600.0 400.0 $1,800.0 1,000.0 $2,800.0 200.0 1,000.0 $1,200.0 $4,000.0 0.00 60.00 $42.8 6.0% 40% $30.60

Answer rating: 100% (QA)

To calculate the firms profit margin PM we need to divide the net income by the net sales F... View the full answer