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Sub Station and Planet Sub reported the following selected financial data ($ in thousands). Sub Station's business strategy is to sell the best tasting sandwich

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Sub Station and Planet Sub reported the following selected financial data ($ in thousands). Sub Station's business strategy is to sell the best tasting sandwich with the highest quality ingredients. Planet Sub's business strategy is to sell the lowest cost sub on the planet. Net sales Net income Total assets, beginning Total assets, ending Sub Station $109,249 26,922 76,183 118,371 Planet Sub $63,071 4,492 40, 399 46,533 Required: 1. Calculate Sub Station's return on assets, profit margin, and asset turnover ratio. (Enter your answers in thousands of dollars. (Le. 123,000 should be entered as 123).) Return on Assets Choose Denominator Choose Numerator Return on Assets Return on assets = 0 Profit Margin Choose Denominator Choose Numerator Profit Margin Profit Margin = 0 Asset Turnover Choose Denominator Choose Numerator Asset Turnover Asset Turnover O times Sub Station and Planet Sub reported the following selected financial data ($ in thousands). Sub Station's business strategy is to sell the best tasting sandwich with the highest quality ingredients. Planet Sub's business strategy is to sell the lowest cost sub on the planet Sub Station Planet Sub Net sales $109,249 $63,071 Net income 26,922 4,492 Total assets, beginning 76,183 Total assets, ending 118,371 46,533 40, 399 2. Calculate Planet Sub's return on assets, profit margin, and asset turnover ratio (Enter your answers in thousands of dollars. (i.e. 123,000 should be entered as 123).) Return on Assets Choose Denominator Choose Numerator Return on Assets Return on assets Profit Margin Choose Denominator Choose Numerator Profit Margin Profit Margin = Asset Turnover Choose Denominator Choose Numerator Asset Turnover - Asset Turnover times Sub Station and Planet Sub reported the following selected financial data ($ in thousands). Sub Station's business strategy is to sell the best tasting sandwich with the highest quality ingredients. Planet Sub's business strategy is to sell the lowest cost sub on the planet. Sub Station Planet Sub Net sales $109,249 $63,071 Net income 26,922 4,492 Total assets, beginning 76,183 40,399 Total assets, ending 118,371 46,533 3-a. Which company has the higher profit margin? Sub Station's O Planet Sub 3-b. Which company has the higher asset turnover? O Sub Station's O Planet Sub 3-c. Are the two ratios consistent with the primary business strategies of the two companies? O Yes O NO

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