| Nibbets Baskets Company had net cash provided by operating activities of $4,200 for 2000. The companys
Question:
| Nibbets Baskets Company had net cash provided by operating activities of $4,200 for 2000. The company’s income statement showed sales (net) of $40,000, interest expense of $400, and net income of $4,000. Its 2000 beginning balance sheet listed total assets of
$42,000 and owner’s equity of $18,000, and its 2000 ending balance sheet listed total assets of $48,000 and owner's equity of $22,000. Interest payable decreased by $100 during the year.
Required: Using the preceding information, compute the company’s (1) operating cash flow margin, (2) profit margin, (3) cash return on total assets, (4) return on total assets,
(5) cash return on owner's equity, and (6) return on owner's equity. plo47
Step by Step Answer:
Accounting Information For Business Decisions
ISBN: 9780030224294
1st Edition
Authors: Billie Cunningham, Loren A. Nikolai, John Bazley