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Selected Current Year Company Information Follows Calculate the Following Company Ratios:
(A)Profit Margin

question 15

Essay

Selected current year company information follows:
 Net income $325,000 Net sales 4,700,000 Total liabilities, beginning-year 550,000 Total liabilities, end-of-year 530,000 Total stockholders’ equity, beginning-year 760,000 Total stockholders’ equity, end-of-year 745,000\begin{array} {| l | r |} \hline \text { Net income } & \$ 325,000 \\\hline \text { Net sales } & 4,700,000 \\\hline \text { Total liabilities, beginning-year } & 550,000 \\\hline \text { Total liabilities, end-of-year } & 530,000 \\\hline \text { Total stockholders' equity, beginning-year } & 760,000 \\\hline \text { Total stockholders' equity, end-of-year } & 745,000 \\\hline\end{array}
Calculate the following company ratios:
(a)Profit margin.
(b)Total asset turnover.
(c)Return on total assets.
(d)Return on common stockholders' equity (assume the company has no preferred stock).


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