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Intel Corporation reports the following data for its Client Computing Group for the year ended December 31, 2023: Income Statement Sales revenue: $90,000,000 Cost of
Intel Corporation reports the following data for its Client Computing Group for the year ended December 31, 2023:
Income Statement
- Sales revenue: $90,000,000
- Cost of goods sold: $40,000,000
- Gross margin: $50,000,000
- Operating expenses:
- R&D expenses: $15,000,000
- Marketing expenses: $10,000,000
- Operating income: $25,000,000
- Nonoperating items:
- Interest expense: $2,000,000
- Loss on disposal of assets: $500,000
- Net income: $22,500,000
Balance Sheet
- Assets:
- Cash: $8,000,000
- Accounts receivable: $6,000,000
- Inventory: $5,000,000
- Property, plant, and equipment: $25,000,000
- Total assets: $44,000,000
- Liabilities:
- Accounts payable: $3,000,000
- Short-term loans: $4,000,000
- Long-term debt: $10,000,000
- Stockholders' equity: $27,000,000
- Total liabilities and stockholders' equity: $44,000,000
Requirements:
- Calculate the gross profit margin.
- Determine the operating profit margin.
- Compute the return on equity (ROE).
- Calculate the current ratio.
- Find the times interest earned ratio.
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