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The financial statements for Alpha Industries Ltd. show the following: Total Revenue: $800,000 Cost of Goods Sold: $500,000 Operating Expenses: $150,000 Net Income: $90,000 Balance


The financial statements for Alpha Industries Ltd. show the following:

  • Total Revenue: $800,000
  • Cost of Goods Sold: $500,000
  • Operating Expenses: $150,000
  • Net Income: $90,000

Balance Sheet Details:

  • Current Assets: $200,000
  • Total Assets: $500,000
  • Current Liabilities: $100,000
  • Long-term Debt: $150,000
  • Shareholders' Equity: $250,000

Requirements: a. Calculate the current ratio. b. Determine the return on equity. c. Compute the debt to equity ratio. d. Evaluate the profitability using net profit margin. e. Assess the company's asset utilization with return on assets.

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