9:05 PM edugen.wileyplus.com Business Communication-Term Project Topics 75% .. N
ID: 2471694 • Letter: 9
Question
9:05 PM edugen.wileyplus.com Business Communication-Term Project Topics 75% .. NNING HEAD IN 50 C wileyPLUS IS Kimmel, Accounting, 4e HeIR I System Announcements (2 Unread) CALCULATOR BACK NEXT Exercise 9-12 Tobias Company reports the following information (in millions) during a recent year: net sales, $10,569.2; net earnings, $350.5; total assets, ending, $5,071.7; and total assets, beginning, $5,779.5. (a) Calculate the return on assets, asset turnover, and profit margin ratios. (Round answers to 1 decimal place, eg. 6.2% and 6.2.) The return on assets The asset turnover The profit margin ratios times Show Work is REQUIRED for this question: Open Show Work Attempts: 0 of 5 used SAVE FOR LATER SUBAIT ANSWER Attempta: 0 of s used SAVE FOR LATER SUBMIT ANSWER T ANSWER Copyright © 2000-2016 by John wley & Sons, Inc. or related companies. All rights reservedExplanation / Answer
Return on assets = Net earnings/Average total assets
= $350.5/($5,071.5+$5,779.5)/2
= 350.5/$5,425.5
= 6.46%
Asset turnover ratio = Sales/Average total assets
= $10,569.2/$5,425.5
= 1.95
Profit margin ratio = Net earnings/Net sales
= $350.5/$10,569.2
= 3.32
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.