Question
Bethesda Mining Company reports the following balance sheet information for 2015 and 2016. BETHESDA MINING COMPANY Balance Sheets as of December 31, 2015 and 2016
Bethesda Mining Company reports the following balance sheet information for 2015 and 2016. BETHESDA MINING COMPANY Balance Sheets as of December 31, 2015 and 2016 2015 2016 2015 2016 Assets Liabilities and Owners Equity Current assets Current liabilities Cash $ 45,262 $ 57,602 Accounts payable $ 190,922 $ 198,611 Accounts receivable 61,281 81,639 Notes payable 86,020 137,588 Inventory 126,088 192,061 Total $ 276,942 $ 336,199 Total $ 232,631 $ 331,302 Long-term debt $ 239,000 $ 175,750 Owners equity Common stock and paid-in surplus $ 216,000 $ 216,000 Fixed assets Accumulated retained earnings 158,636 192,931 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, 2016.
Calculate ROE using the DuPont identity. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16. Enter the profit margin and return on equity as a percent.)
Profit Margin:
Total Asset Turnover:
Equity Multiplier:
Return on Equity:
Bethesda Mining Company reports the following balance sheet information for 2015 and 2016 BETHESDA MINING COMPANY Balance Sheets as of December 31, 2015 and 2016 2015 2016 2015 2016 Assets Liabilities and Owners' Equity Current assets Current liabilities Cash Accounts receivable Inventory S 45,262 $57,602 Accounts payable Notes payable $190,922 S 198,611 137,588 276,942 S 336,199 $ 239,000 S 175,750 61,281 126,088 86,020 81,639 192,061 Total 331302 Long-tem debt Owners' equity Total 323216313 Common stock and paid-in surplus Accumulated retained earnings $ 216,000 S 216,000 192,931 374,636 S 408,931 $890,578 920,880 158,636 Fixed assets S 657,947 589,578 Net plant and equipment Total assets Total 890,578 $920,880 Total liabilities and owners' equity Suppose that the Bethesda Mining Company had sales of $2,236,873 and net income of $101,381 for the year ending December 31, 2016 Calculate ROE using the DuPont identity. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16. Enter the profit margin and return on equity as a percent.) Profit margin Total asset tumover Equity multiplier Return on equity times timesStep by Step Solution
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