Condensed Financial Data Are Presented Below for the Phoenix Corporation

question 73

Multiple Choice

Condensed financial data are presented below for the Phoenix Corporation:
$\begin{array}{lrr}&2014&2013\\\text { Accounts receivable } & \$ 267,500 & \$ 230,000 \\\text { Inventory } & 312,500 & 257,500 \\\text { Total current assets } & 670,000 & 565,000 \\\text { Intangible assets } & 50,000 & 60,000 \\\text { Total assets } & 825,000 & 695,000 \\\text { Current liabilities } & 252,500 & 200,000 \\\text { Long-term liabilities } & 77,500 & 75,000 \\\text { Sales } & 1,640,000 & \\\text { Cost of goods sold } & 982,500 & \\\text { Interest expense } & 10,000 & \\\text { Income tax expense } & 77,500 & \\\text { Net income } & 127,500 & \\\text { Cash flow from operations } & 71,000 & \\\text { Cash flow from investing activities } & (6,000) & \\\text { Cash flow from financing activities } & (62,500) & \\\text { Tax rate } & 30 \% &\end{array}$
-The return on assets ratio for 2014 is (rounded) :

• A)16.3%
• B)16.9%
• C)17.7%
• D)18.2%

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Definitions:

Dependent Variable

The variable in an experiment that is expected to change in response to manipulations of the independent variable.

Low-Carbohydrate Diets

Dietary programs that restrict carbohydrate intake, typically to promote weight loss or manage certain medical conditions.

Weight Loss

The process of losing body weight, typically by following a regimen of diet, exercise, or a combination of both.

Independent Variable

In an experiment, the variable that is manipulated or changed by the researcher to observe its effect on the dependent variable.