1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
DochEvi [55]
2 years ago
5

Maggie’s Skunk Removal Corp.’s 2018 income statement listed net sales of $13.8 million, gross profit of $8.70 million, EBIT of $

6.9 million, net income available to common stockholders of $4.5 million, and common stock dividends of $2.5 million. The 2018 year-end balance sheet listed total assets of $53.8 million and common stockholders' equity of $22.3 million with 2.0 million shares outstanding.
1. Calculate the profit margin.
2. Calculate the basic earnings power.
3. Calculate the return on assets.
4. Calculate the return on equity.
5. Calculate the dividend payout.
Business
1 answer:
Margarita [4]2 years ago
5 0

Answer: See explanation

Explanation:

1. Calculate the profit margin

Profit Margin = (Net Income/Net Sales) × 100

Profit Margin = (4,500,000/13,800,000) × 100

Profit Margin = 3.26 × 100

Profit margin = 32.6%

2. Calculate the basic earnings power.

Gross Profit Margin:

= Gross Profit/Net Sales × 100

= (8,700,000/13,800,000) × 100

= 6.304 × 100

= 63.04%

3. Calculate the return on assets.

Return on assets= Net income/Total asset

= 4,500,000/53,800,000

= 0.0836

= 8.36%

4. Calculate the return on equity.

Return on equity = Net income/Equity

= 4,500,000/22,300,000

= 0.2017

= 20.17%

5. Calculate the dividend payout.

Dividend payout = Dividend/Net income

= 2,500,000/4,500,000

= 0.556

= 55.6%

You might be interested in
An advertiser wants to create ads that target potential customers in california. which targeting method should this advertiser u
PolarNik [594]
I believe the answer is Location Targeting.
Location targeting help advertisers to provide appropriate advertising that is relevant to the people that live in a certain location.
For example, an advertisement for sunblock products would be much more efficient if it's advertised to the people that live near the beach such as Miami.
5 0
3 years ago
Economics is the study of how individuals and societies make choices under the condition of:.
Lubov Fominskaja [6]

Economics is the study of how individuals and societies make choices under the condition of scarcity.

<h3>What is economics?</h3>

The study of how individuals use resources and respond to incentives  by using it  in  decision-making is known as Economics. It is a vast study that helps us comprehend past trends, analyze current headlines, and forecast future events.

It signifies that the price of the product or service exceeds the supply of that product or service. As a result, scarcity might limit the options available to customers, who make up the economy in the end.

       

Individuals, organizations, and governments all use economics to understand their behaviors and decisions. It gives people a way to comprehend how people interact in a market-driven society and to analyze how government policies affect them.

Learn more about Economics, here:

brainly.com/question/14355320

#SPJ1

7 0
2 years ago
Read 2 more answers
A bond with 16 years to maturity and a semiannual coupon rate of 4.93 percent has a current yield of 5.29 percent. The bond's pa
zhannawk [14.2K]

Answer:

Price of bond= $1,922.92

Explanation:

<em>The value of the bond is the present value(PV) of the future cash receipts expected from the bond. The value is equal to present values of interest payment plus the redemption value (RV). </em>

Value of Bond = PV of interest + PV of RV  

Semi-annual interest = 4.93% × 2,000 × 1/2 =49.3

Semi-annual yield = 5.29%/2= 2.65%

PV of interest payment

PV = A (1- (1+r)^(-n))/r

A- 49.3, r-0.02645, n- 16×2

= 49.3× (1-(1.02645)^(-10)/0.02645)  

= 1,055.521

PV of redemption Value

<em>PV = F × (1+r)^(-n) </em>

F-2000, r-0.02645, n- 16 ×2

PV = 2,000 × 1.02645^(-16×2)

PV = 867.402

Price of Bond  

1055.52  + 867.40 =1,922.92

= $1,922.92

4 0
3 years ago
Describe the similarities and differences between TQM and Six Sigma quality-management techniques.
hoa [83]

Answer:

Explained below:

Explanation:

The basic similarity between TQM and Six Sigma quality-management techniques is that each one is a quality control approach and the basic difference between Six Sigma and TQM is the method that each one addresses quality check.TQM determines quality up to that level to which a product attends standards designed inside the company while Six Sigma trades the representation of quality to a relational one, maintaining that quality is based on the fewer number of lacks, which is necessary to be eliminated as much as attainable.

6 0
3 years ago
Suri is graduating from college soon and has been contemplating her career choices. She is graduating with a bachelor’s degree i
Ainat [17]
The best fit for Suri will be MARKETING.
To be an effective marketer, one needs certain skills which are crucial to success in the marketing field. These skills include: good interpersonal relationship, good writing skills, great creativity and expression, good team player, etc. Suri has these qualities; the qualities will make her a good marketer.
4 0
3 years ago
Read 2 more answers
Other questions:
  • When obtaining a mortgage, in order to not be taken, paying a much higher rate than neccessary, which can easily cost well over
    13·1 answer
  • On july 9, coronado company sells goods on credit to wildhorse company for $4600, terms 2/10, n/60. coronado receives payment on
    8·1 answer
  • Nina Corp. had the following net income (loss) the first three years of operation: $6,700, ($1,200), and $3,800. If the Retained
    7·1 answer
  • Glacial Company estimates that variable costs will be 53.1% of sales, and fixed costs will total $710,000. The selling price of
    6·1 answer
  • I WILL GIVE BRAINLIEST
    15·2 answers
  • A product's target market is part of which of the 4 P's of marketing?​
    5·1 answer
  • Glacier Bicycle Company manufactures commuter bicycles from recycled materials. The following data for October are available: Qu
    7·1 answer
  • The last item on the statement of cash flows prior to the schedule of noncash investing and financing activities reports a.the n
    13·1 answer
  • What is one major problem created by globalization?
    13·1 answer
  • _______________operate as for-profit or not-for-profit organizations that facilitate, promote, or encourage B2B relationships be
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!