Question
Papas Pizza is the market leader and Pizza Prince is an up-and-coming player in the highly competitive delivery pizza business. The companies reported the following
Papas Pizza is the market leader and Pizza Prince is an up-and-coming player in the highly competitive delivery pizza business. The companies reported the following selected financial data ($ in thousands):
| Papas Pizza | Pizza Prince | |
|---|---|---|
| Net sales | $24,128 | $1,835 |
| Net income | 2,223 | 129 |
| Total assets, beginning | 14,998 | 919 |
| Total assets, ending | 15,465 | 1,157 |
Required:
1. Calculate the return on assets, profit margin, and asset turnover ratio for Papas Pizza. 2. Calculate the return on assets, profit margin, and asset turnover ratio for Pizza Prince. 3-a. Which company has the more favorable profit margin? 3-b. Which company has the more favorable asset turnover?
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Study On The Auditing System Of Socialism With Chinese Characteristics
Authors: Jiayi Liu
1st Edition
111932470X, 978-1119324706
