Answer:
Gross Margin % 59.2% 53.8%
compares gross profit to sales revenue
Ne income Margin 32.0% 28.9%
compares net income to sales revenue
ROA return on assets 10.8% 12.3%
net earnings relative to the company’s total assets.
ROE return on equity 32.5% 23.1%
net income relative to stockholders’ equity,
Explanation:
Net Sales 3,810,000 3,000,000
Operating costs less depreciation/amortization 1,365,000 1,267,500
Depreciation and amortization 190,500 120,000
Total Operating Costs 1,555,500 1,387,500
Operating Income (or EBIT) 2,254,500 1,612,500
Less: Interest 225,450 169,313
Earnings before taxes (EBT) 2,029,050 1,443,187
Less: Taxes (40%) 821,620 577,275
Net Income 1,217,430 865,912
assets 11,277,600 7,050,000
Equity 3,750,000 3,750,000
Gross Margin % 59.2% 53.8%
compares gross profit to sales revenue
Ne income Margin 32.0% 28.9%
compares net income to sales revenue
ROA return on assets 10.8% 12.3%
net earnings relative to the company’s total assets.
ROE return on equity 32.5% 23.1%
net income relative to stockholders’ equity,
