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The following condensed information is reported by Sporting Collectibles. 2021 2020 Income Statement Information Sales revenue $ 6,840,000 $ 7,500,000 Cost of goods sold 4,534,920
The following condensed information is reported by Sporting Collectibles.
| 2021 | 2020 | |||||||
| Income Statement Information | ||||||||
| Sales revenue | $ | 6,840,000 | $ | 7,500,000 | ||||
| Cost of goods sold | 4,534,920 | 5,000,000 | ||||||
| Net income | 311,220 | 158,000 | ||||||
| Balance Sheet Information | ||||||||
| Current assets | $ | 1,510,000 | $ | 1,410,000 | ||||
| Long-term assets | 2,110,000 | 1,810,000 | ||||||
| Total assets | $ | 3,620,000 | $ | 3,220,000 | ||||
| Current liabilities | $ | 1,110,000 | $ | 810,000 | ||||
| Long-term liabilities | 1,590,000 | 1,590,000 | ||||||
| Common stock | 710,000 | 710,000 | ||||||
| Retained earnings | 210,000 | 110,000 | ||||||
| Total liabilities and stockholders' equity | $ | 3,620,000 | $ | 3,220,000 | ||||
Required: 1. Calculate the following profitability ratios for 2021:
Profitability Ratios
gross profit ratio
return on assets
profit margin
asset turnover
return on equity
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