Suppose selected comparative statement data for the giant bookseller Barnes & Noble are presented here. All balance sheet data are as of the end of the fiscal year (in millions). 2020 2019 Net sales $5,150 $5,100 Cost of goods sold 3,400 3,901 Net income 75 151 Accounts receivable 75 104 Inventory 1,250 1,350 Total assets 2,950 3,150 Total common stockholders’ equity 890 1,121 Compute the following ratios for 2020. (Round asset turnover to 2 decimal places, e.g 1.83 and all other answers to 1 decimal place, e.g. 1.8 or 2.5%) (a) Profit margin enter percentages rounded to 1 decimal place ? % (b) Asset turnover enter Asset turnover in times rounded to 2 decimal places ? times (c) Return on assets enter percentages rounded to 1 decimal place ? % (d) Return on common stockholders’ equity enter percentages rounded to 1 decimal place ? % (e) Gross profit rate enter percentages rounded to 1 decimal place ? %
Suppose selected comparative statement data for the giant bookseller Barnes & Noble are presented here. All balance sheet data are as of the end of the fiscal year (in millions). 2020 2019 Net sales $5,150 $5,100 Cost of goods sold 3,400 3,901 Net income 75 151 Accounts receivable 75 104 Inventory 1,250 1,350 Total assets 2,950 3,150 Total common stockholders’ equity 890 1,121 Compute the following ratios for 2020. (Round asset turnover to 2 decimal places, e.g 1.83 and all other answers to 1 decimal place, e.g. 1.8 or 2.5%) (a) Profit margin enter percentages rounded to 1 decimal place ? % (b) Asset turnover enter Asset turnover in times rounded to 2 decimal places ? times (c) Return on assets enter percentages rounded to 1 decimal place ? % (d) Return on common stockholders’ equity enter percentages rounded to 1 decimal place ? % (e) Gross profit rate enter percentages rounded to 1 decimal place ? %
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter16: Financial Statement Analysis
Section: Chapter Questions
Problem 4PB
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Question
Suppose selected comparative statement data for the giant bookseller Barnes & Noble are presented here. All balance sheet data are as of the end of the fiscal year (in millions).
|
2020
|
2019
|
|||
|---|---|---|---|---|
|
Net sales
|
$5,150 | $5,100 | ||
|
Cost of goods sold
|
3,400 | 3,901 | ||
|
Net income
|
75 | 151 | ||
|
|
75 | 104 | ||
|
Inventory
|
1,250 | 1,350 | ||
|
Total assets
|
2,950 | 3,150 | ||
|
Total common
|
890 | 1,121 |
Compute the following ratios for 2020. (Round asset turnover to 2 decimal places, e.g 1.83 and all other answers to 1 decimal place, e.g. 1.8 or 2.5%)
|
(a)
|
Profit margin
|
enter percentages rounded to 1 decimal place
|
? % | ||
|---|---|---|---|---|---|
|
(b)
|
Asset turnover
|
enter Asset turnover in times rounded to 2 decimal places
|
? times | ||
|
(c)
|
Return on assets
|
enter percentages rounded to 1 decimal place
|
? % | ||
|
(d)
|
Return on common stockholders’ equity
|
enter percentages rounded to 1 decimal place
|
? % | ||
|
(e)
|
Gross profit rate
|
enter percentages rounded to 1 decimal place
|
? % |
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