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Sara Togas sells all its output to Federal Stores. The following table shows selected financial data, in millions, for the two firms: Sales $102 22
Sara Togas sells all its output to Federal Stores. The following table shows selected financial data, in millions, for the two firms: Sales $102 22 Federal Stores Sara Togas Interest Payment $6 3 Assets at Start of Year $52 21.0 Net Income $12 6 Assume tax rate is 35%. a. Calculate the sales-to-assets ratio, the operating profit margin, and the return on assets for the two firms. (Do not round intermediate calculations. Round the sales-to-assets ratio answers to 2 decimal places. Enter the operating profit margin and return on assets answers as a percent rounded to 2 decimal places.) X Answer is complete but not entirely correct. Federal Stores Sara Togas Sales-to-assets ratio 1.96 1.04 15.59 % 36.14 % Operating profit margin Return on assets 30.56 % 37.59 %
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