Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Financial data for Joel de Paris, Inc., for last year follow. Joel de Paris, Inc. Balance Sheet Beginning Balance Ending Balance Assets Canh Accounts receivable

image text in transcribed
image text in transcribed
Financial data for Joel de Paris, Inc., for last year follow. Joel de Paris, Inc. Balance Sheet Beginning Balance Ending Balance Assets Canh 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 $ 138,000 337,000 571,000 844,000 404,000 248,000 $ 2,542.000 $ 139,000 487,000 471,000 833,000 425,000 249,000 $ 2,604,000 $ 378,000 1,040,000 1,124,000 $ 2,542,000 $ 336,000 1,040,000 1,228,000 $ 2,604,000 Joel de Paris, Inc. Income Statement Sales Operating expenses Net operating Income Interest and take Interest expense $ 128,000 Tax expense 209,000 Net Income $ 4,202,000 3,571,700 630,300 337,000 293,300 The company paid dividends of $189,300 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% Help Sav rota 11ADILICOs and stockholders equity -4 2. W Joel de Paris, Inc. Income Statement Sales Operating expenses Net operating income Interest and taxes Interest expense $ 128,000 Tax expense 209,000 Net Income $ 4,202,000 3,571,700 630,300 337,000 $ 293,300 Ces The company paid dividends of $189,300 last year. The "Investment in Bulsson, SAS 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 (RO) for last year. (Round "Margin", "Turnover" and "Ror" to 2 decimal places.) 3. What was the company's residual income last year? 2 % Average operating assets Margin Turnover ROY Residual income % 3

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Energy Audit Of Building Systems An Engineering Approach

Authors: Moncef Krarti

3rd Edition

0367820463, 978-0367820466

More Books

Students also viewed these Accounting questions

Question

6. Use short-range goals to assist in achieving long-range goals.

Answered: 1 week ago

Question

Explain the various methods of job evaluation

Answered: 1 week ago

Question

Differentiate Personnel Management and Human Resource Management

Answered: 1 week ago

Question

Describe the functions of Human resource management

Answered: 1 week ago