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Apple Inc. Income Statement for the Year Ended September 30, Year 5 Sales revenue: $500,000 Cost of goods sold: $300,000 Gross margin: $200,000 Operating expenses:
Apple Inc. Income Statement for the Year Ended September 30, Year 5
- Sales revenue: $500,000
- Cost of goods sold: $300,000
- Gross margin: $200,000
- Operating expenses:
- Selling expenses: $30,000
- Depreciation expenses: $40,000
- Operating income: $130,000
- Nonoperating items: $15,000
- Net income: $115,000
Balance Sheet as of September 30, Year 5
- Assets:
- Cash: $50,000
- Accounts receivable: $100,000
- Merchandise inventory: $70,000
- Equipment (less accumulated depreciation): $80,000
- Nonoperating assets: $30,000
- Total assets: $330,000
- Liabilities:
- Accounts payable: $20,000
- Notes payable: $15,000
- Stockholders' equity: $295,000
- Total liabilities and stockholders' equity: $330,000
Required:
a. Calculate the gross margin percentage. b. Calculate the operating margin percentage. c. Calculate the return on assets (ROA). d. Calculate the return on equity (ROE). e. If Apple Inc. plans to acquire a new company for $60,000 which is expected to generate an additional net income of $20,000, calculate the new ROA and ROE.
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