Question
Evaluating profitability) Last year, Stevens Inc. had sales of $398,000, with a cost of goods sold of $113,000. The firm's operating expenses were $125,000, and
Evaluating profitability) Last year, Stevens Inc. had sales of $398,000, with a cost of goods sold of $113,000. The firm's operating expenses were $125,000, and its increase in retained earnings was $52,000. There are currently 21,400 common stock shares outstanding and the firm pays a $1.63 dividend per share. Sales=398,000 COGS=113,000 Gross Profits=285,000 Operating Expenses=125,000 Operating Profits:??? Interest Expense:??? Earnings before Taxes:??? Income Taxes??? NEED HELP Net Income=??? NEED HELP a. Assuming the firm's earnings are taxed at 21 percent, construct the firm's income statement. b. Compute the firm's operating profit margin. c. What was the times interest earned? a. Assuming the firm's earnings are taxed at 21 percent, construct the firm's income statement.(Round to the nearest dollar. NOTE: You may input expense accounts as neg b. Compute the first operating profit margin. c. What was the times interest earned?
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