Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

HW 1D Question 5 Canadian Bacon Inc. financial statements are presented in the table below. Based on the information in the table, calculate the firm's

HW 1D

Question 5

Canadian Bacon Inc. financial statements are presented in the table below.

Based on the information in the table, calculate the firm's the operating profit margin.

Round the answers to two decimal places in percentage form. (Write the percentage sign in the "units" box).

Balance Sheet December 31, 2014

Cash and marketable securities $132,000 Accounts payable$399,000

Accounts receivable $311,000 Notes payable $98,500

Inventories $512,000 Accrued expenses $89,300

Prepaid expenses $11,300Total current liabilities $586,800

Total current assets $966,300 Long-term debt $799,400

Gross fixed assets $2,104,000Par value and paid-in-capital $298,000

Less: accumulated depreciation $398,000Retained Earnings $988,100

Net fixed assets$1,706,000 Common Equity $1,286,100

Total assets $2,672,300Total liabilities and owner's equity $2,672,300

Income Statement, Year of 2015

Net sales (all credit) $4,276,600.00

Less: Cost of goods sold $3,292,982.00

Selling and administrative expenses $349,000.00

Depreciation expense $148,000.00

EBIT $486,618.00

Interest expense $49,600.00

Earnings before taxes $437,018.00

Income taxes $174,807.20

Net income$262,210.80

Your Answer:

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

Fundamentals Of Investing

Authors: Scott B. Smart, Lawrence J. Gitman, Michael D. Joehnk

13th Edition

978-0134083308, 013408330X

More Books

Students also viewed these Finance questions