Required information Strategic Profit Model - Costco Information used to examine the profit margin management path comes from the retailer's income statement, which summarizes a firm's financial performance over a period of time. The information used to analyze a retailer's asset management path primarily comes from the retailer's balance sheet. Whereas the income statement summarizes the financial performance over a period of time, the balance sheet summarizes a retailer's financial position at a given point in time, typically at the end of the fiscal year. For this exercise, Information is taken from a previous annual report from Costco The strategic profit model is a method for summarizing the factors that affect a firm's financial performance, as measured by return on assets. Return on assets is an important performance measure for a firm and its stockholders because it measures the profits that a firm makes relative to the assets it possesses. The strategic profit model decomposes ROA into two components: (1) operating profit margin percentage and (2) asset turnover. These two components illustrate that ROA is determined by two sets of activities-profit margin management and asset turnover management- and that a high ROA can be achieved by various combinations of operating profit margins and asset turnover levels Holly's Hospitality is a store that sells decorative tabletop and serving merchandise for the dinner party diva. Last year its net sales totaled $225,000 with $21,000 in taxes. The value of the merchandise sold was $103,000. The only expenses that the operation has are salaries to the owner and one full-time employee at $52,000, administrative expenses of $1,000, and utilities at $1,900. Calculate the net profit after tax for Holly's Hospitality Multiple Choice $122,000 $46,00 $47.000 O $52,000 $67100