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Financial data for Stirling, Inc., for last year are as follows: Stirling, Inc. Balance Sheet Beginning Balance Ending Balance Assets Cash $ 154,000 $ 151,000
Financial data for Stirling, Inc., for last year are as follows: |
Stirling, Inc. Balance Sheet | ||||
Beginning Balance | Ending Balance | |||
Assets | ||||
Cash | $ | 154,000 | $ | 151,000 |
Accounts receivable | 379,000 | 523,000 | ||
Inventory | 623,000 | 538,000 | ||
Plant and equipment, net | 964,000 | 948,000 | ||
Investment in Brier Company | 450,000 | 474,000 | ||
Land (undeveloped) | 276,000 | 280,000 | ||
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Total assets | $ | 2,846,000 | $ | 2,914,000 |
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Liabilities and Stockholders' Equity | ||||
Accounts payable | $ | 426,000 | $ | 384,000 |
Long-term debt | 1,079,000 | 1,079,000 | ||
Stockholders' equity | 1,341,000 | 1,451,000 | ||
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Total liabilities and stockholders' equity | $ | 2,846,000 | $ | 2,914,000 |
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Stirling, Inc. Income Statement | |||
Sales | $ | 6,004,000 | |
Operating expenses | 5,055,520 | ||
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Net operating income | 948,480 | ||
Interest and taxes: | |||
Interest expense | $ 175,000 | ||
Tax expense | 252,000 | 427,000 | |
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Net income | $ | 521,480 | |
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The company paid dividends of $276,480 last year. The "Investment in Brier Company" on the balance sheet represents an investment in the stock of another company. |
Required: | |
1. | Compute the companys margin, turnover, and return on investment (ROI) for last year. (Do not round intermediate calculations. Round your Turnover answer to 2 decimal places. Round your Margin and ROI percentage answers to 2 decimal places (i.e., 0.1234 should be entered as 12.34).) |
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