Key comparative figures ($ thousands) for both Krispy Kreme and Tastykake follow:

Required

1. What is the total amount of assets invested in

(a) Krispy Kreme and (b) Tastykake?
2. What is the return on assets for (a) Krispy Kreme and (b) Tastykake? Krispy Kreme’s beginning year assets equal \($255,376\) (in thousands) and Tastykake’s beginning-year assets equal \($116,137\) (in thousands).
3. How much are expenses for

(a) Krispy Kreme and (b) Tastykake?
4. Is return on assets satisfactory for

(a) Krispy Kreme and (b) Tastykake? (Assume competitors average a 3% return.)
5. What can you conclude about Krispy Kreme and Tastykake from these computations?

Transcribed Image Text:

Key Figure Krispy Kreme Tastykake Liabilities + Equity $410,487 $116,560 Net income 33,478 2,000* Revenues (sales) 491,549 162,263 Restructuring charges are removed from income.