Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Financial statements for Askew Industries for 2021 are shown below (in thousands): 2021 Income Statement Net sales $ 9. see Cost of goods sold _(6,5ee

image text in transcribed

image text in transcribed

Financial statements for Askew Industries for 2021 are shown below (in thousands): 2021 Income Statement Net sales $ 9. see Cost of goods sold _(6,5ee Gross profit 3,300 Operating expenses (2,300) Interest expense (280) Income tax expense (288) Net income $ 432 Comparative Balance Sheets - Dec. 31 2021 2029 Assets Cash Accounts receivable Inventory Property, plant, and equipment (net) $ 689 $ 580 689489 889 680 2,800 2,900 $5,640 $4,640 Liabilities and Shareholders' Equity Current liabilities Bonds payable Common stock Retained earnings $1,589 1.899 $1,330 1.899 688 980 $5,640 830 $4,640 Required: Calculate the following ratios for 2021. (Consider 365 days a year. Do not round Intermediate calculations and round your final answers to 2 decimal places.) 1. Inventory turnover ratio 2. Average days in inventory 3. Receivables turnover ratio 4. Average collection period 5. Asset turnover ratio 6. Profit margin on sales 7. Return on assets 8. Return on equity 0. Equity multiplier 10. Return on equity (using the DuPont framework)

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

Step: 3

blur-text-image

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

Auditing And Edp Objective Questions And Explanations

Authors: Irvin N. Gleim, William A. Hillison

5th Edition

0917537521, 978-0917537523

More Books

Students also viewed these Accounting questions

Question

1. Describe the power of nonverbal communication

Answered: 1 week ago