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Stuck on 3-4 and 3-5. Chapter 3: Financial Statement Analysis 63 3-4 The sales, total assets, and net income in the same industry are given
Stuck on 3-4 and 3-5.
Chapter 3: Financial Statement Analysis 63 3-4 The sales, total assets, and net income in the same industry are given in the following table. Determine the asset turnover, profit margin on sales, and return on assets for each of these five companies. th) Examine the ratios of those companies that seem to be out of line in polet to the average ratio for the five companies. Item \Firm a n Sales ($000) Assets ($000) Net income ($000) A $600 200 60 B $610 400 74 C $700 300 55 D $850 500 67 E $600 280 80 3-5 nterest asset Given the following financial data, construct the income statement of the Camille Toy Company: Times interest earned 5 times Tax rate 40% Cost of goods sold to sales 80% Sales $100,000 Interest expense as % of sales 2% liabili- is the - Inc.'s 3-6 Following are the balance sheets and income statements of Williams Company for 2011 and 2012. co buy a) Express each balance sheet item as a percent of total assets and each in- come statement item as a percent of net sales (common-size statements). 1) Using the common-size statements produced in part a), evaluate the financial condition and the operating results of the company, indicating favorable and unfavorable trend changes for the itemsStep by Step Solution
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