A Company Reported Net Income of $275,000, Net Sales of $2,500,000

question 28

Essay

A company reported net income of $275,000, net sales of $2,500,000, and average total assets of $2,100,000 for the current year. Calculate this company's profit margin, total asset turnover, and return on total assets.

---

Definitions:

Rehabilitative Alimony

A type of spousal support intended to provide financial assistance while the receiving spouse gains employment or education necessary to become self-supporting.

Ex-Spouses

Individuals who were previously married to each other and have legally dissolved their marriage relationship.

Permanent Alimony

Financial support paid indefinitely by one ex-spouse to another following divorce, often until the recipient remarries or passes away.

Former Spouse

An individual to whom one was previously legally married but is now divorced or separated.