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Using the information below, calculate the value of (1) Profitability. (2) Asset Turnover, and (3) Equity Multiplier. Balance Sheet (all numbers are in $ million
Using the information below, calculate the value of (1) Profitability. (2) Asset Turnover, and (3) Equity Multiplier. Balance Sheet (all numbers are in $ million unless stated otherwise) Current Assets Current Liabilities Cash 98 Accounts Payable 344 A/C Receivable 188 Notes Payable 196 Inventory 422 Total 708 Total 540 Fixed Assets Net PPE 457 Long-Term Liabilities 2880 Long-Term Debt Common Stock and Paid-In Surplus 550 Retained Earnings 2041 3588 Total Liabilities + Net Worth 3588 Total Assets Income Statement (all numbers are in 5 million unless stated otherwise) Sales 2311 Cost of Goods Sold 1344 Depreciation 276 EBIT 691 Interest Paid to Bondholders 141 Taxable income (EBT) 550 Taxes @ 34 percent 187 Net Income 363
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