Xenetech Industries Gathered the Following Selected Account Balance Information for the Years

question 1

Essay

Xenetech Industries gathered the following selected account balance information for the years ended December 31,2010 and 2009:
                                                      $\begin{array}{ll}12 / 31 / 10 & 12 / 31 / 09\end{array}$
Curyent Assets                                    $\$ 90,000 \quad \$ 122,000$


Long-Term Assets                              $368,000 \quad 316,000$


Curyent Liabilities                               $64,000 \quad 88,000$

Long-Term Liabilities                         $112,000 \quad 134,000$

Owners' Equity                                      282,000      $216.000$


Net Sales                                                 439,000

Cost of Goods Sold                                  206,000


Net Income                                             $115.000$ Calculate the following ratios for 2010:
(
A)Return on Assets
(b)Return on Owners' Equity
(c)Asset Turnover
(d)Return on Sales
(e)DuPont ROI
(f)Debt-to-Equity

• A)Return on Assets
• (b)Return on Owners' Equity
• (c)Asset Turnover
• (d)Return on Sales
• (e)DuPont ROI
• (f)Debt-to-Equity

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Definitions:

Inflationary Expectations

The beliefs that consumers, businesses, and investors have about future inflation rates, which can influence economic behavior and policy decisions.

Discretionary Policy

Involves government policies that are implemented through ad-hoc decisions by policymakers, rather than set by predetermined rules.

Monetary Policy

The process by which the central bank or monetary authority of a country controls the supply of money, often targeting an inflation rate or interest rate to ensure price stability and general trust in the currency.

Rational Expectations School

A theory proposing that individuals and firms make decisions based on their rational outlook, available information, and past experiences.