Answered step by step
Verified Expert Solution
Question
1 Approved Answer
I can not figure out the ROA and ROE. Use the following financial statements for Lake of Egypt Marina, Inc. Assets Current asseta: Cash and
I can not figure out the ROA and ROE.
Use the following financial statements for Lake of Egypt Marina, Inc. Assets Current asseta: Cash and marketable securities Accounts receivable Inventory Total Pixed assets: Gross plant and equipment Less: Depreciation Net plant and equipment LAKE OF EGYPT HARINA, INC. Balance Sheet as of December 31, 2021 and 2020 (in millions of dollars) 2020 2021 Other long-term assets Total Total assets $75 115 200 $390 $580 110 $470 50 $520 $910 $ 65 110 190 $365 $471 100 $371 Less: Depreciation Earnings before interest and taxes (EBIT) Leas: Interest Earnings before taxes (EBT) 49 $420 $785 Net sales (all credit) Lesas Cost of goods sold Gross profits Zeas: Other operating expenses Earnings before interest, taxes, depreciation, and amortization (EBITDA) Liabilities and Equity Current liabilities: Accrued vages and taxes Accounts payable Notes payable Total Long-term debt: Stockholders' equity: Preferred stock (5 million shares) Common stock and paid-in surplus (65 million shares) Retained earnings Total LAKE OF EGYPT MARTNA, INC. Income Statement for Years Ending December 31, 2021 and 2020 (in millions of dollars) Total liabilities and equity $ $ $ $ 2021 515 230 285 30 255 22 233 33 200 $ $ $ 5 2020 432 175 257 25 232 20 212 30 182 2021 $40 90 HO 5210 $300 $ 5 65 330 $400 $910 2020 $43 80 20 $193 $280 $5 65 242 $312 $785 LAKK OF EGYPT MARINA, INC. Income Statement for Years Ending December 31, 2021 and 2020 (in millions of dollars) Net sales (all credit) Less: Cost of goods sold Gross profits Less: Other operating expenses Earnings before interest, taxes, depreciation, and amortization (EBITDA) Less: Depreciation Earnings before interest and taxes (EBIT) Less: Interest Earnings before taxes (EBT) Less: Taxes Net income Less: Preferred stock dividends Net income available to common stockholders Less: Common stock dividends Addition to retained earnings Per (common) share data: Earnings per share (EPS) Dividends per share (DPS) Book value per share (BVPS) Market value (price) per share (MVPS) ROA ROE 30.68 % 30.68% X x $ 0.57 0.57 $ $ 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