Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Here are the 2020 results for four different retail companies (all amounts are in thousands): A $225,000 100,000 60,000 10,000 B $750,000 400,000 225,000 90,000
Here are the 2020 results for four different retail companies (all amounts are in thousands): A $225,000 100,000 60,000 10,000 B $750,000 400,000 225,000 90,000 $640,000 200,000 250,000 15,000 Company Net Sales Cost of Goods Sold Operating Expenses Other Revenue Other Expenses Interest Expense Loss on Sale of Assets Income Tax Net Income D $120,000 40,000 60,000 5,000 13,000 5,000 14.000 S43,000 2,000 1,000 60,000 $152,000 85,000 5.000 30,000 $85,000 1,000 1,000 5,000 $18,000 Average Stockholders' Equity Average Total Assets $226,000 S925,000 $400,000 $650.000 $918,000 $2,250,000 $50,000 $196,000 Based upon the information above, answer the following questions (PLEASE SHOW YOUR WORK) 1. 2. 3. 4. 5. 6. 7. 8. Which company do you think was the most successful in 2020? Why? How much total Gross Profit did each company earn? What was the Gross Profit to Sales percentage for each company?? What was the tax rate for each company calculate to 3 decimals such as 26,4%)? What was the return on sales for each company? What was the return on equity for each company? What was the return on total assets for each company? Now that you have calculated the above ratios, which company do you think was the most successful in 2020? Why
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started