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Selected Current Year Company Information Follows Calculate the Following Company Ratios:
(A) Profit Margin

question 5

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Selected current year company information follows:
 Net income $325,000 Net sales 4,700,000 Total liabilities, beginning-year 550,000 Total liabilities, end-of-year 530,000 Total stockholder’s’ equity, beginning-year 760,000 Total stockholder’s’ equity, end-of-year 745,000\begin{array}{|l|r|}\hline \text { Net income } & \$ 325,000 \\\hline \text { Net sales } & 4,700,000 \\\hline \text { Total liabilities, beginning-year } & 550,000 \\\hline \text { Total liabilities, end-of-year } & 530,000 \\\hline \text { Total stockholder's' equity, beginning-year } & 760,000 \\\hline \text { Total stockholder's' equity, end-of-year } & 745,000 \\\hline\end{array} Calculate the following company ratios:
(a) Profit margin.
(b) Total asset turnover.
(c) Return on total assets.
(d) Return on common stockholders' equity (assume the company has no preferred stock).


Definitions:

Ménière Disease

Disorder of the middle ear resulting in vertigo and loss of balance.

Vertigo

A sensation of whirling and loss of balance, often associated with looking down from a great height, or due to disease affecting the inner ear or vestibular nerve.

Primary Somatosensory Cortex

The main sensory receptive area for the sense of touch located in the parietal lobe of the human brain.

Homunculi

Distorted representations of the human body based on the neurological map of areas and proportions of the brain dedicated to processing motor or sensory functions.

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