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6. Use the following information to compute values for each of the profitability measures listed below (show work in a manner that we can follow,
6. Use the following information to compute values for each of the profitability measures listed below (show work in a manner that we can follow, hint, Excel might be helpful). Evaluate each of the measures: weak, fair, strong. (total 21 points) Beginning net worth Capital asset loss (depreeiatien)- Total beginning assets Total cash farm expenses Value of unpaid labor Gross cash farm income $40,000 $50,000 $60,000 $4,000,000 $1,480,000 $1,440,000 Inventory change $100,000 $3,800,000 $1,150,000 S30,000 $1,480,000 Value of unpaid management Interest expense Total ending assets Ending net worth Evaluate (W. F. S, etc (2 points each) (1 point each) a) Net Farm Income Operations b) Net Farm Income c) Net Farm Income Ratio d) Rate of Return on Assets e) Rate of Return on Equity f) Operating Profit Margin Ratio g) Asset Turnover Rate
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