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
Montano1993 [528]
3 years ago
8

Some recent financial statements for Smolira Golf Corp. follow:

Business
1 answer:
nalin [4]3 years ago
4 0

Answer:

1. The company's profit margin is 13.4% percent.

profit margin = net income / net sales = $45,064 / $336,329 = 13.4%

2. The total asset turnover is 0.82 times.

asset turnover ratio = net sales / average assets = $336,329 / [($387,891 + $432,000)/2] = $336,329 / $409,945.50 = 0.82

3. The equity multiplier is 1.7 times.

equity multiplier = average total assets / average total equity = $409,945.50 / [($205,936 + $275,000)/2] = $409,945.50 / $240,468 = 1.70

4. Using the Du Pont Identity, the company's ROE is 18.68% percent.

ROE = profit margin x asset turnover x equity multiplier (or financial leverage) = 0.134 x 0.82 x 1.7 = 0.1868 = 18.68%

You might be interested in
Babuca Corporation has provided the following production and total cost data for two levels of monthly production volume. The co
xeze [42]

Answer:

Total cost= $2,008,608

Explanation:

Giving the following information:

Production 11,800 units 13,000 units

Direct materials: $761,100 -  $838,500

Direct labor: $241,900 -  $266,500

Manufacturing overhead: $1,010,800 - $1,035,280

First, we need to calculate the unitary cost for each level of production and choose the lower cost for each:

11,800 units:

Direct material= 761,100/11,800= $64.5

Direct labor= 241,900/11,800= $20.5

Variable overhead= 1,010,800/11,800= $85.66

Total unitary cost= 170.66

13,000 units:

Direct material= 838,500/13,000= 64.5

Direct labor= 266,500/13,000= $20.5

Variable overhead= 1,035,280 /13,000= $79.64

Total unitary cost= 164.64

<u>Total cost for 12,200 units:</u>

Total cost= 12,200*164.64= $2,008,608

6 0
3 years ago
Susan, 56 years of age, and her daughter beverly, 28 years of age, are both secretaries. they both apply for the same job, and a
svetoff [14.1K]
This attitude reflects ageism.
It is a type of discrimination based on somebody's age - even though Susan is more experienced than her young daughter when it comes to this job, Beverly got the job because she is younger. So, Susan has been discriminated against because she is way older than Beverly. 
5 0
3 years ago
Samantha believes in interference theory. What does she MOST likely believe? A. Past information can get in the way of learning
Alex787 [66]

Answer:

A: "Past information can get in the way of learning new things."

7 0
2 years ago
Which of the following questions is an example of macroeconomics?
alex41 [277]

Answer:

C. If federal taxes are decreased will consumer spending increase?

Explanation:

One keen question that falls under the domain of macroeconomics is the behavior of consumer spending when taxes are decreased.

  • Macroeconomics presents approaches the study of the economy in a holistic way.
  • Every aspect of the economy is considered before strategic economic decisions are taken.
  • Interest rates, inflation, unemployment rate, foreign trade etc. are all categorized under macroeconomics.
8 0
3 years ago
If consumers start to believe they need a product, what is likely to happen?
Contact [7]

Answer:

Option A

Explanation:

Less elastic Demands means ,there will be less effect on the demand of a product if the price of product changes.

5 0
3 years ago
Read 2 more answers
Other questions:
  • What is foreign portfolio investment?
    14·2 answers
  • Appropriation to retained earning is
    15·2 answers
  • Which of the following are the ways that a company can finance the purchase of assets? (You may select more than one answer. Sin
    5·1 answer
  • What does the Electronic Fund Transfer Act do?
    14·2 answers
  • Which statement best explains the law of demand?
    9·2 answers
  • Great Cruiseline offers nightly dinner cruises off the coast of​ Miami, San​ Francisco, and Seattle. Dinner cruise tickets sell
    12·1 answer
  • Which of the following persons trade for their own account on the floor of an options exchange?
    10·1 answer
  • Is it good or bad to have lots of layers in a business<br> and why? What can be done?
    14·1 answer
  • Your cousin Vinnie owns a painting company with fixed costs of $200 and the following schedule for variable costs:
    10·1 answer
  • Fontaine and Monroe are forming a partnership. Fontaine invests a building that has a market value of $356,000; the partnership
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!