Following Are the Financial Statements for Starman Corporation for the Year

question 49

Multiple Choice

Following are the financial statements for Starman Corporation for the year ended December 31,20xx.Assume that all balance sheet amounts represent both average and ending figures.
$\begin{array}{c}\text {Starman Corporation}\\\text {Balance Sheet}\\\text {December \( 31,20 \mathrm{xx} \) }\\\begin{array}{lcr}&\text { Assets }\\\text { Cash } && \$ 20,000 \\\text { Marketable securities } && 30,000 \\\text { Accounts receivable } && 50,000 \\\text { Inventory } && 100,000 \\\text { Long-term receivables } && 35,000 \\\text { Property, plant, and equipment } && 65,000 \\\text { Total assets } && \$ 300,000\\\\&\text { Liabilities and Stockholders' Equity }\\\text { Current liabilities } && \$ 100,000 \\\text { Long-term liabilities } && 60,000 \\\text { Stockholders' equity } && 140,000 \\ \text { Total liabilities and stockholders' equity } && \$ 300,000 \\\end{array}\end{array}$
$\begin{array}{c}\text {Starman Corporation}\\\text { Income Statement}\\\text { For the Year Ended December 31, 20xx}\\\begin{array}{lr}\text { Net sales } & \$ 400,000 \\\text { Cost of goods sold } & 240,000 \\\text { Gross margin } & \$ 160,000 \\\text { Operating expenses } & 40,000 \\\text { Income before income taxes } & \$ 120,000 \\\text { Income taxes expense } & 30,000 \\\text { Net income } & \$ 90,000 \\\end{array}\end{array}$
What is the return on assets for this corporation? Round your answer to one decimal place.

• A) 75.0 percent
• B) 53.3 percent
• C) 40.0 percent
• D) 30.0 percent

Comprehend the strategies for continuous improvement and total quality management (TQM) within organizations.

Understand the methodologies for scheduling, project planning, and benchmarking in operations management.

Understand the structural components and growth of neurons in the brain.

Grasp the basic concepts of genetics, including gene expression and inheritance patterns.

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Definitions:

Generic Competitive Strategies

Broad approaches to competitive advantage that companies can apply across industries, often categorized into cost leadership, differentiation, and focus strategies.

Lowering Costs

Strategies or actions taken to reduce expenses and increase profitability within a business.

Differentiation

The process of distinguishing a product or service from those of competitors in order to appeal to a particular target market.

Customer's Perspective

The viewpoint or attitude of consumers regarding the purchase, usage, benefits, and overall satisfaction with a product or service.