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Degollado Corporation's most recent income statement appears below: Income Statement For the Year Ended December 31 Sales (all on account) $ 146,000 Cost of goods
Degollado Corporation's most recent income statement appears below:
Income Statement | |
---|---|
For the Year Ended December 31 | |
Sales (all on account) | $ 146,000 |
Cost of goods sold | 67,000 |
Gross margin | 79,000 |
Selling and administrative expenses | 38,000 |
Net operating income | 41,000 |
Interest expense | 16,000 |
Net income before taxes | 25,000 |
Income taxes (30%) | 7,500 |
Net income | $ 17,500 |
The beginning balance of total assets was $206,000 and the ending balance was $227,000.
Required:
Compute the return on total assets. (Round your "Percentage" answer to 2 decimal places.)
\begin{tabular}{|c|c|} \hline Return on total assets & % \\ \hline \end{tabular}Step by Step Solution
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