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Chapter 14-1. Based on the comparative balance sheets provided, complete a condensed income statement and calculate return on assets + stockholder's equity. Problem 14-1A Comparative
Chapter 14-1. Based on the comparative balance sheets provided, complete a condensed income statement and calculate return on assets + stockholder's equity.
Problem 14-1A Comparative statement data for Farris Company and Ratzlaff Company, two competitors, appear below. All balance sheet data are as of December 31, 2017, and December 31, 2016. Farris Company Ratzlaff Company 2017 2016 2017 2016 Net sales $1,510,000 $339,400 Cost of goods sold 1,020,000 241,500 Operating expenses 300,000 78,700 2,700 Interest expense 8,800 Income tax expense 54,000 6,700 Current assets 324,000 313,600 83,200 $78,900 Plant assets (net) 521,400 499,400 139,200 124,500 Current liabilities 65,600 75,800 35,800 29,200 Long-term liabilities 108,400 89,000 28,800 25,400 Common stock, $10 par 497,000 497,000 124,500 124,500 Retained earnings 174,400 151,200 33,300 24,300Step by Step Solution
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