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Presented below are the items included on the financial statements of We Just Might Make It Corporation for the year ending December 31, 2019 2019
Presented below are the items included on the financial statements of We Just Might Make It Corporation for the year ending December 31, 2019
2019 | 2018 | |
Sales revenue | $2,300.000 | $2,100,000 |
Cost of goods sold | 1,000,000 | 1,300,000 |
General and administrative expenses | 900,000 | 500,000 |
Other income | 40,000 | 20,000 |
Income tax expense | 150,000 | 125,000 |
Current Assets | 525,000 | 475,000 |
Current Liabilities | 631,500 | 465,000 |
Average Assets | $1,000,000 | $900.000 |
Required
Based on the above, determine the following (show your work for partial credit) for 2019 and 2018.
Briefly comment on the trend for #2, #4, and #5:
- Net income
- Return on Assets (ROA)
- Gross Profit (in dollars)
- Gross Profit % (gross profit dollars/sales revenue)
- Current ratio (current assets/current liabilities)
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