Question
Some recent financial statements for Smolira Golf Corp. follow. SMOLIRA GOLF CORP. 2014 and 2015 Balance Sheets Assets Liabilities and Owners Equity 2014 2015 2014
Some recent financial statements for Smolira Golf Corp. follow. SMOLIRA GOLF CORP. 2014 and 2015 Balance Sheets Assets Liabilities and Owners Equity 2014 2015 2014 2015 Current assets Current liabilities Cash $ 23,046 $ 25,100 Accounts payable $ 24,184 $ 28,100 Accounts receivable 13,448 16,200 Notes payable 20,000 11,800 Inventory 26,822 28,100 Other 12,571 19,100 Total $ 63,316 $ 69,400 Total $ 56,755 $ 59,000 Long-term debt $ 79,000 $ 90,000 Owners equity Common stock and paid-in surplus $ 48,000 $ 48,000 Accumulated retained earnings 214,256 237,000 Fixed assets Net plant and equipment $ 334,695 $ 364,600 Total $ 262,256 $ 285,000 Total assets $ 398,011 $ 434,000 Total liabilities and owners equity $ 398,011 $ 434,000 SMOLIRA GOLF CORP. 2015 Income Statement Sales $ 349,760 Cost of goods sold 241,500 Depreciation 27,200 Earnings before interest and taxes $ 81,060 Interest paid 15,300 Taxable income $ 65,760 Taxes (35%) 23,016 Net income $ 42,744 Dividends $ 20,000 Retained earnings 22,744 The company's profit margin is percent. (Use year-end figures rather than average values where appropriate. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) The total asset turnover is times. (Round your answer to 2 decimal places, e.g., 32.16.) The equity multiplier is times. (Round your answer to 2 decimal places, e.g., 32.16.) Using the Du Pont Identity, the company's ROE is percent. (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)
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