Boeing Company Income Statement For the Year Ended December 31, Year 2

• Sales revenue: $600,800
• Cost of goods sold: $400,500
• Gross profit: $200,300
• Operating expenses: $90,800
• R&D expenses: $(25,500)
• Depreciation expense: $25,000
• Operating income: $59,000
• Nonoperating income: $20,500
• Loss on sale of equipment: $(15,500)
• Net income: $64,000

Balance Sheet As of December 31, Year 2

• Assets:
  • Cash: $60,000
  • Accounts receivable: $120,500
  • Merchandise inventory: $110,300
  • Equipment less accumulated depreciation: $150,800
  • Nonoperating assets: $160,700
  • Total assets: $602,300
• Liabilities:
  • Accounts payable: $50,700
  • Notes payable: $70,600
  • Stockholders’ equity:
    • Common stock: $350,000
    • Retained earnings: $131,000
    • Total liabilities and stockholders’ equity: $602,300

Required:

1. Compute the gross profit margin.
2. Calculate the current ratio.
3. Determine the debt-to-equity ratio.
4. Evaluate the ROI for Boeing Company.
5. Calculate the operating margin.