Foyle, Inc., had 830,000 shares of common stock issued and outstanding at December 31, 2020. On July 1, 2021, an additional 40,0
1 answer:
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Answer:
$61,175
Explanation:
Base on the scenario been described in the question, we expected to solve for the future worth
The table of the cash flow is shows in the picture
We can find that by calculating the Future worth
Future Worth = {2,500 + 1,500(P/A 7%,10) 100 + (P/G 7%,10) } [F/P 7%, 20]
Future worth = { 2,500 + 1500(7.024) + 100(27.716)}
Future worth = $61,175
Solution :
13. Net income = total assets x ROA
= $ 1,000,000 x 12%
= $ 120,000
Net Income for company is $120,000.
Net Profit margin = 4.25%
Total sales = net income / net profit margin
= $ 120,000 / 4.25%
= $ 2,823,529
Total sales for company is $ 2,823,529
14. Debt ratio = 72%
So weight of debt = 72%
Weight of equity = 1 - 72%
= 28%
Debt equity ratio
= 2.57
Debt equity ratio is 2.57
15. Debt ratio = 42.50%
So, weight of debt = 42.50%
Weight of equity = 1 - 42.50%
= 57.50%
Weight of equity is 57.50%.
Return on equity = 15%.
Return on assets = 57.50% × 15%
= 8.625%
Return on assets is 8.625%.
16.
Debt Equity ratio = 1.45
Weight of debt = 59.18%
Weight of equity = 40.82%
Return on assets = 16%
Return on equity = 16% / 40.82%
= 39.20%
Return on equity is 39.20%.
17.
Total Assets turnover = Sales / Total Assets
= (Net Income / Total Assets) / (Net Income / Sales)
= ROA / Net Profit margin
= 7.50% / 15%
= 0.50
Total Assets turnover is 0.50.