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Financial data for Joel de Paris, Inc., for last year follow: Joel de Paris, Inc. Balance Sheet Beginning Balance Ending Balance Assets Cash Accounts receivable
Financial data for Joel de Paris, Inc., for last year follow:
Joel de Paris, Inc. Balance Sheet Beginning Balance Ending Balance Assets Cash Accounts receivable Inventory Plant and equipment, net Investment in Buisson, S.A. Land (undeveloped) Total assets Liabilities and Stockholders' Equity Accounts payable Long-term debt Stockholders' equity Total liabilities and stockholders' equity $ 129,000 350,000 564,000 817,000 396,000 248,000 $ 2,504,000 $ 137,000 477,000 481,000 805,000 426,000 253,000 $ 2,579,000 $ 375,000 999,000 1,130,000 $ 2,504,000 $ 348,000 999,000 1,232,000 $ 2,579,000 Joel de Paris, Inc. Income Statement Sales Operating expenses Net operating income Interest and taxes: Interest expense $ 128,000 Tax expense 199,000 Net income $ 3,948,000 3,395, 280 552,720 327,000 225, 720 $ The company paid dividends of $123,720 last year. The Investment in Buisson, S.A.," on the balance sheet represents an investment in the stock of another company. The company's minimum required rate of return of 15%. Required: 1. Compute the company's average operating assets for last year. 2. Compute the company's margin, turnover, and return on investment (ROI) for last year. (Round "Margin", "Turnover" and "ROI" to 2 decimal places.) 3. What was the company's residual income last year? 1. 2. Average operating assets Margin Turnover ROI Residual incomeStep by Step Solution
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