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Bethesda Mining Company reports the following balance sheet information for 2013 and 2014. BETHESDA MINING COMPANY Balance Sheets as of December 31, 2013 and 2014
Bethesda Mining Company reports the following balance sheet information for 2013 and 2014. BETHESDA MINING COMPANY Balance Sheets as of December 31, 2013 and 2014 2013 2014 2013 2014 Assets Liabilities and Owners' Equity Current liabilities Current assets Cash $190,922 $ 198,611 $ 45,262 $ 57,602 61,281 81,639 126,088 192,061 Accounts payable Notes payable Accounts receivable Inventory 86,020 137,588 Total $276,942 $ 336,199 Total $ 232,631 $ 331,302 Long-term debt $239,000 $175,750 Owners' equity $216,000 $216,000 Common stock and paid-in surplus Accumulated retained earnings 158,636 192,931 Fixed assets Net plant and equipment $ 657,947 $589,578 Total $374,636 $408,931 Total assets $890,578 $920,880 Total liabilities and owners' equity $890,578 $920,880 Suppose that the Bethesda Mining Company had sales of $2,236,873 and net income of $101,381 for the year ending December 31, 2014. Required: Calculate ROE using the Du Pont identity. (Do not round intermediate calculations. Round your answers to 2 decimal places (e.g., 32.16). Enter the profit margin and return on equity as percents.) % Profit margin Total asset times turnover Equity multiplier times Return on equity %
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