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Use the Comparative Income Statements and Balance Sheets Below to Complete

question 29

Essay

Use the comparative income statements and balance sheets below to complete the required ratio analysis. $Use the comparative income statements and balance sheets below to complete the required ratio analysis. Additional information: All sales are made on account. Balances of selected accounts for December 31, 20-A are accounts receivable (net), $73,800; merchandise inventory, $139,200; total assets, $906,900; common stockholders' equity, $527,200; and common shares outstanding 42,000. \begin{array}{lrr}&20-\mathrm{C}&20-\mathrm{B}\\ \text { Number of common shares } & 42,000 & 42,000 \\ \text { Dividends paid } & \$ 44,400 & \$ 49,000 \end{array} Prepare a profitability analysis by calculating for 20-B and 20-C the (a) net sales to assets, (b) return on total assets, (c) return on common stockholders' equity, (d) earnings per share, and (e) book value per share. Indicate whether there has been an improvement or not from 20-B to 20-C. Round to two decimal places.$ $Use the comparative income statements and balance sheets below to complete the required ratio analysis. Additional information: All sales are made on account. Balances of selected accounts for December 31, 20-A are accounts receivable (net), $73,800; merchandise inventory, $139,200; total assets, $906,900; common stockholders' equity, $527,200; and common shares outstanding 42,000. \begin{array}{lrr}&20-\mathrm{C}&20-\mathrm{B}\\ \text { Number of common shares } & 42,000 & 42,000 \\ \text { Dividends paid } & \$ 44,400 & \$ 49,000 \end{array} Prepare a profitability analysis by calculating for 20-B and 20-C the (a) net sales to assets, (b) return on total assets, (c) return on common stockholders' equity, (d) earnings per share, and (e) book value per share. Indicate whether there has been an improvement or not from 20-B to 20-C. Round to two decimal places.$ Additional information:
All sales are made on account. Balances of selected accounts for December 31, 20-A are accounts receivable (net), $73,800; merchandise inventory, $139,200; total assets, $906,900; common stockholders' equity, $527,200; and common shares outstanding 42,000. $\begin{array}{lrr}&20-\mathrm{C}&20-\mathrm{B}\\\text { Number of common shares } & 42,000 & 42,000 \\\text { Dividends paid } & \$ 44,400 & \$ 49,000\end{array}$ Prepare a profitability analysis by calculating for 20-B and 20-C the (a) net sales to assets, (b) return on total assets, (c) return on common stockholders' equity, (d) earnings per share, and (e) book value per share. Indicate whether there has been an improvement or not from 20-B to 20-C. Round to two decimal places. $Use the comparative income statements and balance sheets below to complete the required ratio analysis. Additional information: All sales are made on account. Balances of selected accounts for December 31, 20-A are accounts receivable (net), $73,800; merchandise inventory, $139,200; total assets, $906,900; common stockholders' equity, $527,200; and common shares outstanding 42,000. \begin{array}{lrr}&20-\mathrm{C}&20-\mathrm{B}\\ \text { Number of common shares } & 42,000 & 42,000 \\ \text { Dividends paid } & \$ 44,400 & \$ 49,000 \end{array} Prepare a profitability analysis by calculating for 20-B and 20-C the (a) net sales to assets, (b) return on total assets, (c) return on common stockholders' equity, (d) earnings per share, and (e) book value per share. Indicate whether there has been an improvement or not from 20-B to 20-C. Round to two decimal places.$

Definitions:

Economic Development

The process through which a nation improves the economic, political, and social well-being of its people.

Saving and Investment

The act of setting aside income for future use and the use of those savings for purchasing capital goods or financial assets.

Productivity of Labor

The measure of output per worker or per hour worked, indicating how effectively labor inputs are converted into goods or services.