Accel's has 10,000 common shares outstanding during 2024. Beginning by selecting the formula 1. Compute the profit margin ratio for Accel's Companies for 2024. 2. Compute the rate of return on total assets for 2024. 3. Compute the asset turnover ratio for 2024.
Accel's Companies, a home improvement store chain, reported the following summarized figures:
Accel's Companies
Income Statement
Years Ended May 31, 2024 and 2023
2024
Net Sales Revenue $40,600
Cost of Goods Sold $28,400
Interest Expense $600
All Other Expenses $4,300
Net Income $7,300
2023
Net Sales Revenue $40,500
Cost of Goods Sold $30,600
Interest Expense $570
All Other Expenses $8,200
Net Income $1,130
Accel's Companies
Balance Sheet
May 31, 2024 and 2023
Assets
2024 2023
Cash
$2,400 $900
Short-term Investments
$28,000 $9,000
Accounts Receivable
$7,500 $5,200
Merchandise Inventory
$6,900 $8,600
Other Current Assets
$8,000 $1,500
Total Current Assets
$52,800 $25,200
All Other Assets
$30,000 $29,000
Total Assets
$82,800 $54,200
Liabilities
2024 2023
Total Current Liabilities
$28,000 $13,200
Long-term Liabilities
$13,900 $10,300
Total Liabilities
$41,900 $23,500
Common Stock
$11,000 $11,000
$29,900 $19,700
Total Equity
$40,900 $30,700
Total Liabilities and Equity
$82,800 $54,200
Accel's has 10,000 common shares outstanding during 2024. Beginning by selecting the formula
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1. |
Compute the profit margin ratio for Accel's Companies for 2024. |
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2. |
Compute the |
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3. |
Compute the asset turnover ratio for 2024.
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