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Financial data for Beaker Company for last year appear below: Financial data for Beaker Company for last year appear below: Beaker Company Statements of Financial
Financial data for Beaker Company for last year appear below:
Financial data for Beaker Company for last year appear below: Beaker Company Statements of Financial Position Beginning Balance Ending Balancee AssetS: Cash $136,386 205,000 270,000 $ 277,000 179,000 257,000 476,000 255, 000 335,000 Accounts receivable Inventory Plant and equipment (net) Investment in Cedar Company Land (undeveloped) 440,000 288,000 335,000 $1,779,000 $1,674,386 Total assets Liabilities and owners' equity: Accounts payable Long-term debt Owners' equity $ 203,000 862,000 714,000 $ 152,000 862,000 660,386 $1,779,000 $1,674,386 Total liabilities and owners' equity Beaker Company Income Statement $1,960,000 1,597,400 362,600 Sales Less operating expenses Net operating income Less interest and taxes: Interest expense Tax expense $105,800 141,414 247,214 115,386 Net income The company paid dividends of $169,000 last year. The "Investment in Cedar Company" on the statement of financial position represents an investment in the stock of another company. Requirec a. Compute the company's margin, turnover, and return on investment for last year. b, The Board of Directors of Beaker Company has set a minimum required return of 30%, what was the company's residual income last year? Complete this question by entering your answers in the tabs below Required A Required B Compute the company's margin, turnover, and return on investment for last year. (Round your "Percentage" answers to 2 decimal places.) Margin Turnover Return on investment Required B > Required A Complete this question by entering your answers in the tabs below. Required ARequired B The Board of Directors of Beaker Company has set a minimum required return of 30%, what was the company's residual income last year? (Round your intermediate calculations and final answers to 2 decimal places.) Residual incomeStep by Step Solution
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