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The following financial details pertain to Intel Corporation's Semiconductor Division for the fiscal year ending December 31, Year 17: Income Statement: Sales revenue: $4,200,000 Cost
The following financial details pertain to Intel Corporation's Semiconductor Division for the fiscal year ending December 31, Year 17:
Income Statement:
- Sales revenue: $4,200,000
- Cost of sales: $2,500,000
- Gross profit: $1,700,000
- Operating expenses: $800,000
- Depreciation: $300,000
- Operating income: $600,000
- Interest expense: $100,000
- Non-operating income: $50,000
- Net income: $550,000
Balance Sheet:
- Cash: $300,000
- Accounts receivable: $600,000
- Inventory: $700,000
- Property, plant, and equipment (net): $1,200,000
- Total assets: $2,800,000
- Accounts payable: $400,000
- Long-term debt: $700,000
- Stockholders' equity: $1,700,000
- Total liabilities and equity: $2,800,000
Requirements:
- Compute the ROI for Intel Corporation's Semiconductor Division.
- Analyze the gross profit margin.
- Determine the impact of depreciation on net income.
- Calculate the equity to asset ratio.
- Discuss the significance of non-operating income in the overall financial performance.
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