Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

his Question: 4 pts 20 of 26 (0 complete) AcCormick Computer Corp., a technology support company providing security for small businesses, reported these summarized figures

image text in transcribed

image text in transcribed

image text in transcribed

his Question: 4 pts 20 of 26 (0 complete) AcCormick Computer Corp., a technology support company providing security for small businesses, reported these summarized figures in (Click the icon to view the income statement.) 6 (Click the icon to view the balance sheet.) 1. Compute these profitability measures for 2020 a. Return on sales b. Return on assets, interest expense for 2020 was $0.6 million. c. Return on common shareholders' equity. 2. Are these rates of return strong or weak? 1. a. Return on sales is % (Round your answer to one decimal place.) b. Return on assets is % (Round your answer to one decimal place.) c. Return on common shareholders' equity is % (Round your answer to one decimal place.) 2. Are these rates of return strong or weak? or of roturn are McCormick Computer Corp. Income Statement For the Year Ended December 31, 2020 $ 63.0 Net sales 42.6 Cost of goods sold 0.6 Interest expense 15.8 All other expenses $ 4.0 Net income Print Done McCormick Computer Corp. Balance Sheet December 31, 2020 Assets 2020 2019 Liabilities and Equity 2020 2019 Cash $ 3.2 $ 1.6 Total current liabilities $ 9.2||$ 8.2 9.0 8.9 Short-term investments 1.2 1.3 Long-term liabilities 18.2. 17.1 Accounts receivable 0.9 0.8 Total liabilities Inventory 10.4 8.0 47 & 2.6 1.2 Other current assets Common shares 6.6 5.0 18.9 128 Total current assets 18.3 12.9 Retained earnings 25.4 22.0 25.5 178 All other assets Total equity $ 43.7||$ 34.9 $ 43.7||$ 34.9 Total assets Total liabilities and equity Print Done

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

The Internal Auditing Handbook

Authors: K. H. Spencer Pickett

1st Edition

0471969117, 978-0471969112

More Books

Students also viewed these Accounting questions