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Disaggregate RNOA into Net operating profit margin (NOPM) and Net Operating Asset Turnover (NOAT) DC's Income Statement Year Ending December 31, 2014 2014 Sales 1,125,192

Disaggregate RNOA into Net operating profit margin (NOPM) and Net Operating Asset Turnover (NOAT)

DC's
Income Statement
Year Ending December 31, 2014
2014
Sales 1,125,192
Cost of Goods Sold 697,619
Gross Profit 427,573
Operating Expenses:
Selling and Admin Expenses 285,368
Depreciation 12,000
Total Operating Expenses 297,368
Operating Income 130,205
Interest Expense (13,440)
Investment Income 6,590
Earnings before Income Taxes 123,355
Income Taxes @ 23% effective rate 28,372
Net Income 94,983
DC's
Balance Sheet
December 31, 2104
Assets 2014 2013
Cash 225,800 158,500
Short Term Investments 30,000 30,000
Inventory 48,000 42,000
Other Current Assets 2,000 2,000
Total Current Assets 305,800 232,500
Fixed Assets net of depreciation 192,000 204,000
Total Assets 497,800 436,500
Liabilities and Owners Equity
Accounts Payable 35,000 31,000
Wages Payable 7,400 6,800
Current Maturities of Long Term Debt 11,500 11,500
Deferred Revenue 12,000 9,000
Total Current Liabilities 65,900 58,300
Long Term Debt less Current Maturities 128,000 139,500
Total Liabilities 193,900 197,800
Equity
Common Stock 1,000 shares issued
and outstanding Dec 31, 2014 100,000 100,000
Retained Earnings 203,900 138,700
Total Equity 303,900 238,700
Total Liabilities and Owners Equity 497,800

436,500

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