From the Information Provided,calculate Giuseppe's Profit Margin Ratio for Each

question 354

Essay

From the information provided,calculate Giuseppe's profit margin ratio for each of the three years.Comment on the results,assuming that the industry average for the profit margin ratio is 6% for each of the three years.
$\begin{array}{llll}&2017&2016&2015\\\text { Net income } & \$ 2,630 & \$ 2,100 & \$ 1,850 \\\text { Net Sales } & 36,500 & 32,850 & 31,200 \\\text { Total Assets } & 400,000 & 385,000 & 350,000\end{array}$

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Definitions:

Supplier Partnerships

Partnership of suppliers and purchasers that removes waste and drives down costs for mutual benefits.

Employee Development

The ongoing effort to improve an organization's workforce through training and education, enhancing skills, knowledge, and abilities.

Level Schedules

A production strategy that aims to maintain a consistent output rate and workforce level, regardless of demand fluctuations.

End Customer Needs

The requirements and preferences of the final consumer that products or services are designed to meet or exceed.