Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

4 Part 4 otis 0.66 DO The Foundational 15 [LO14-2, L014-3, LC14-4, LO14-5, L014-6) [The following information applies to the questions displayed below) Markus Company's

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
4 Part 4 otis 0.66 DO The Foundational 15 [LO14-2, L014-3, LC14-4, LO14-5, L014-6) [The following information applies to the questions displayed below) Markus Company's common stock sold for $2.75 per share at the end of this year. The company paid a common stock dividend of $0.55 per share this year. It also provided the following data excerpts from this year's financial statements: Ending Beginning Balance Balance Cash $ 35,000 $ 30,000 Accounts receivable $ 60,000 $ 50,000 Inventory $ 55,000 $ 60,000 Current assets $ 150,000 $ 140,000 Total assets $ 450,000 $460,000 Current liabilities $ 60,000 $ 40,000 Total liabilities $ 130,000 $ 120,000 Common stock $1 par value $ 120,000 $ 120,000 Total stockholders' equity $ 320,000 $340,000 Total liabilities and stockholders' equity $ 450,000 $460,000 This Year Sales (all on account) $ 700,000 Cost of goods sold $400,000 Gross margin $300,000 Net operating income $ 140,000 Interest expense $ 8,000 Net Income $ 92,400 Foundational 14-4 4. What is the return on total assets (assuming a 30% tax rate)? (Round your percentage answer to 1 decimal place (ie., 01234 should be entered as 12.3).) Answer is complete but not entirely correct. Return on total 30.8% Foundational 14-5 5. What is the return on equity? (Round your answer to the nearest whole percentage place (i...0.1234 should be entered as 12).) Answer is complete but not entirely correct. Raumon equity 20 Foundational 14-6 6. What is the book value per share at the end of this year? (Round your answer to 2 decimal places.) look volo per share

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Managerial Accounting

Authors: Carl S. Warren, William B. Tayler

16th Edition

0357715225, 9780357715222

More Books

Students also viewed these Accounting questions

Question

Of the following, which one is an example of a marker bed ?

Answered: 1 week ago

Question

4. Explain how to price managerial and professional jobs.

Answered: 1 week ago