Critelli Company has provided the following comparative information: Year 5 Year 4 Year 3 Year 2 Year 1 Net income $1,327,400 $1,144,300 $961,600 $821,900 $696,500 Interest expense 451,300 411,900 355,800 271,200 215,900 Income tax expense 424,768 320,404 269,248 213,694 167,160 Average total assets 9,264,063 8,190,526 7,007,447 5,973,224 5,097,207 Average stockholders' equity 3,130,660 2,818,473 2,478,351 2,209,409 1,945,531 You have been asked to evaluate the historical performance of the company over the last five years. Selected industry ratios have remained relatively steady at the following levels for the last five years: Industry Ratios Return on total assets 18.9 % Return on stockholders' equity 39.2 % Times interest earned 4.6 Instructions: Calculate three ratios for Year 1 through Year 5. Round to one decimal place.

Critelli Company has provided the following comparative information: Year 5 Year 4 Year 3 Year 2 Year 1 Net income $1,327,400 $1,144,300 $961,600 $821,900 $696,500 Interest expense 451,300 411,900 355,800 271,200 215,900 Income tax expense 424,768 320,404 269,248 213,694 167,160 Average total assets 9,264,063 8,190,526 7,007,447 5,973,224 5,097,207 Average stockholders' equity 3,130,660 2,818,473 2,478,351 2,209,409 1,945,531 You have been asked to evaluate the historical performance of the company over the last five years. Selected industry ratios have remained relatively steady at the following levels for the last five years: Industry Ratios Return on total assets 18.9 % Return on stockholders' equity 39.2 % Times interest earned 4.6 Instructions: Calculate three ratios for Year 1 through Year 5. Round to one decimal place.

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter1: The Role Of Accounting In Business

Section: Chapter Questions

Problem 1.4.2MBA: Return on assets The following data (in millions) were adapted from recent financial statements of...

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Critelli Company has provided the following comparative information: Year 5 Year 4 Year 3 Year 2 Year 1 Net income $1,327,400 $1,144,300 $961,600 $821,900 $696,500 Interest expense 451,300 411,900 355,800 271,200 215,900 Income tax expense 424,768 320,404 269,248 213,694 167,160 Average total assets 9,264,063 8,190,526 7,007,447 5,973,224 5,097,207 Average stockholders' equity 3,130,660 2,818,473 2,478,351 2,209,409 1,945,531 You have been asked to evaluate the historical performance of the company over the last five years. Selected industry ratios have remained relatively steady at the following levels for the last five years: Industry Ratios Return on total assets 18.9 % Return on stockholders’ equity 39.2 % Times interest earned 4.6 Instructions: Calculate three ratios for Year 1 through Year 5. Round to one decimal place.
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