19 Selected information from Raven Company's December 31, 2022 and 2021 financial statements is presentedbelow:Accounts receivableInventoryNet salesCost of goods soldTotal assetsTotal stockholders' equityNet incomeCompute the company's 2022 return on assets. (Round your answer to 3 decimal places.)Multiple Choice0.2%9.1%1.4%20222021$ 84,000 $ 79,00094,00080,000420,000 382,000263,000 222,000$10,000 755,000500,000410,00071,00054,0008.8%

Solution : Return on assets is based on Return earned by the business on its average assets. It is…

Net sales Cost of goods sold Total assets Total stockholders' equity Net income 420,000 382,000 263,000 222,000 $10,000 755,000 500,000 410,000 71,000 54,000 Compute the company's 2022 return on assets. (Round your answer to 3 decimal places.)

Net sales Cost of goods sold Total assets Total stockholders' equity Net income 420,000 382,000 263,000 222,000 $10,000 755,000 500,000 410,000 71,000 54,000 Compute the company's 2022 return on assets. (Round your answer to 3 decimal places.)

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter12: Fainancial Statement Analysis

Section: Chapter Questions

Problem 54CE

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