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Income statement: Sales $10,000 Cost of goods sold 9,200 EBIT $ 800 Interest (10%) 400 EBT $ 400 Taxes (40%) 160 Net Income $ 240

Income statement:

Sales $10,000

Cost of goods sold 9,200

EBIT $ 800

Interest (10%) 400

EBT $ 400

Taxes (40%) 160

Net Income $ 240

Balance sheet:

Cash $ 20

A/R 1,000

Inventories 5,000

Total C.A. $ 6,020 Debt $ 4,000

Net F.A. 2,980 Equity 5,000

Total Assets $ 9,000 Total claims $ 9,000

What is Inventory Turn Over Ratio?

Was the company profitable? Yes/No

What is Return on Equity ?

What is Return on Total Assets?

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