Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Some recent financial statements for Smolira Golf Corporation follow. SMOLIRA GOLF CORPORATION 2020 and 2021 Balance Sheets 2021 Liabilities and Owners' Equity Current liabilities
Some recent financial statements for Smolira Golf Corporation follow. SMOLIRA GOLF CORPORATION 2020 and 2021 Balance Sheets 2021 Liabilities and Owners' Equity Current liabilities Accounts payable Assets: 2020 Current assets Cash 24,126 $24,900 Accounts receivable 13,248 16,000 Notes payable Inventory 26,542 27,900 Other Total $63,916 $ 68,800 Total Long-term debt Fixed assets 2020 2021 $ 23,984 $27,900 18,000 12,371 11,600 16,500 $54,355 $ 56,000 $77,000 $74,606 Owners' equity Common stock and paid-in surplus Accumulated retained earnings $ 50,000 $50,000 215,256 250,394 $ Net plant and equipment $332,695 $ 362,200 Total 265,256 300,394 Total assets $ 396,611 $ 431,000 Total liabilities and owners' equity $ 396,611 431,000 SMOLIRA GOLF CORPORATION 2021 Income Statement $ Sales 392,907 Cost of goods sold 256,500 Depreciation 48,400 Earnings before interest and $88,007 taxes Interest paid 15,100 Taxable income Taxes (23%) $ 72,907 16,769 Net income Dividends Retained earnings $56,138 $ 21,000 35,138 Construct the DuPont identity for Smolira Golf Corporation. The company's profit margin is The total asset tumover is The equity multiplier is Using the DuPont identity, the company's ROE is percent. times. times. 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.) (Round your answer to 2 decimal places, e.g., 32.16.) (Round your answer to 2 decimal places, e.g., 32.16.) (Do not round intermediate calculations and enter your answer as a percent. rounded to 2 decimal places, e.g., 32.16.)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started