Selected data from the financial statements of Italian Marble Co. and Brazil Stone Products for the...

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Selected data from the financial statements of Italian Marble Co. and Brazil Stone Products for the year just ended follow. Assume that for both companies dividends declared were equal in amount to net earnings during the year and therefore stockholders' equity did not change. The two companies are in the same line of business. Total liabilities Total assets Sales (all on credit) Average inventory Average receivables Gross profit as a percentage of sales Operating expenses as a percentage of sales Net income as a percentage of sales a. Compute the net income for each company. Italian Marble Co. Brazil Stone Products $ 200,000 $ 100,000 800,000 1,850,000 400,000 1,270,000 240,000 140,000 200,000 100,000 40% 30% 36% 25% 3% 5% b. Compute the net income as a percentage of stockholders' equity for each company. c. Compute the accounts receivable turnover for each company. d. Compute the inventory turnover for each company. e. Which company is in a stronger financial position? Complete this question by entering your answers in the tabs below. Required A Required B Required C Required D Required E Compute the net income for each company. Italian Marble Brazil Stone Co. Products Net income Selected data from the financial statements of Italian Marble Co. and Brazil Stone Products for the year just ended follow. Assume that for both companies dividends declared were equal in amount to net earnings during the year and therefore stockholders' equity did not change. The two companies are in the same line of business. Total liabilities Total assets Sales (all on credit) Average inventory Average receivables Gross profit as a percentage of sales Operating expenses as a percentage of sales Net income as a percentage of sales a. Compute the net income for each company. Italian Marble Co. Brazil Stone Products $ 200,000 $ 100,000 800,000 1,850,000 400,000 1,270,000 240,000 140,000 200,000 100,000 40% 30% 36% 25% 3% 5% b. Compute the net income as a percentage of stockholders' equity for each company. c. Compute the accounts receivable turnover for each company. d. Compute the inventory turnover for each company. e. Which company is in a stronger financial position? Complete this question by entering your answers in the tabs below. Required A Required B Required C Required D Required E Compute the net income for each company. Italian Marble Brazil Stone Co. Products Net income