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Amounts are in thousands of dollars (except number of shares and price per share): Kiwi Fruit Company Balance Sheet Cash and equivalents $ 490 Operating
Amounts are in thousands of dollars (except number of shares and price per share): |
Kiwi Fruit Company Balance Sheet | ||
Cash and equivalents | $ | 490 |
Operating assets | 790 | |
Property, plant, and equipment | 3,200 | |
Other assets | 180 | |
Total assets | $ | 4,660 |
Current liabilities | $ | 1,040 |
Long-term debt | 1,510 | |
Other liabilities | 190 | |
Total liabilities | $ | 2,740 |
Paid in capital | $ | 410 |
Retained earnings | 1,510 | |
Total equity | $ | 1,920 |
Total liabilities and equity | $ | 4,660 |
Kiwi Fruit Company Income Statement | |||
Net sales | $ | 8,600 | |
Cost of goods sold | (6,900 | ) | |
Gross profit | $ | 1,700 | |
Operating expense | (620 | ) | |
Operating income | $ | 1,080 | |
Other income | 175 | ||
Net interest expense | (200 | ) | |
Pretax income | $ | 1,055 | |
Income tax | (265 | ) | |
Net income | $ | 790 | |
Earnings per share | $ | 2.00 | |
Shares outstanding | 395,000 | ||
Recent price | $ | 44.50 | |
Kiwi Fruit Company Cash Flow Statement | |||
Net income | $ | 790 | |
Depreciation and amortization | 214 | ||
Increase in operating assets | (115 | ) | |
Decrease in current liabilities | (130 | ) | |
Operating cash flow | $ | 759 | |
Net (purchase) sale of property | $ | 215 | |
Increase in other assets | (76 | ) | |
Investing cash flow | $ | 139 | |
Net (redemption) issuance of LTD | $ | (202 | ) |
Dividends paid | (188 | ) | |
Financing cash flow | $ | (390 | ) |
Net cash increase | $ | 508 | |
Calculate ROA and ROE for Kiwi Fruit and interpret these ratios. (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places. Omit the "$" sign in your response.) |
ROA | % |
ROE | % |
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