Use the following information to calculate the requested Income Statement metrics. |
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Net Farm Income |
$36,000 |
Opportunity Cost of Labor |
$16,000 |
|
Average Equity |
$220,000 |
Opportunity Cost of Management |
$8,000 |
|
Average Asset Value |
$360,000 |
Family Living Expenses |
$20,000 |
|
Interest Expense |
$11,000 |
Income and SS taxes |
$4,000 |
|
Total Revenue |
$109,500 |
Opportunity Cost of Capital |
10% |
|
a. Rate of Return on Assets |
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b. Rate of Return on Equity |
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c. Operating Profit Margin Ratio |
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d. Change in Equity |
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e. Return to Management |
a. Rate of return on assets= 6.38%
Need to calculate return on Asset
Average assets value = $360,000. (as per the question)
b.Rate of return on equity __5.45 %
Need to calculate return on equity
Average equity = $220,000. (as per the question).
c. Operating profit margin ratio ____21 %
need to calculate operating profit
total revenue = $109,500
d. Change in equity $ __$ 12,000_______
Change in Equity = $36,000-$20,000-$4,000
=$12,000
e. Return to management $ ____$6,000
Need to calculate return on labour & management:
Use the following information to calculate the requested Income Statement metrics. Net Farm Income $36,000 Opportunity...
Problem #2 Use the following information to calculate the requested Income Statement metrics. Net Farm Income $36,000 Opportunity Cost of Labor Average Equity $220,000 Opportunity Cost of Management Average Asset Value $360,000 Family Living Expenses Interest Expense $11,000 Income and SS taxes Total Revenue $109,500 Opportunity Cost of Capital a. Rate of Return on Assets b. Rate of Return on Equity c. Operating Profit Margin Ratio d. Change in Equity e. Return to Management $16,000 $8,000 $20,000 $4,000 10%
Income Statement Assignment Ramona Rancher has an accounting period from January 1st to December 31st . Use the following information to complete an income statement for Ramona and evaluate the income statement. Inventory Values January 1st 2018 December 31st 2018 Crops $32,850 $27,440 Livestock $17,600 $29,500 Revenue and Expenses Depreciation $26,700 Crop sold $169,800 Feed Purchased $19,800 Insurance $3,800 Prop. Taxes $3,400 Interest paid $36,400 Misc. Expenses $4,800 Feeder livestock Purchased $46,500 Market Livestock sold $81,660 Seed purchased $6,240 Repairs...
Income Statement Assignment Ramona Rancher has an accounting period from January 1st to December 31st . Use the following information to complete an income statement for Ramona and evaluate the income statement. Inventory Values January 1st 2018 December 31st 2018 Crops $32,850 $27,440 Livestock $17,600 $29,500 Revenue and Expenses Depreciation $26,700 Crop sold $169,800 Feed Purchased $19,800 Insurance $3,800 Prop. Taxes $3,400 Interest paid $36,400 Misc. Expenses $4,800 Feeder livestock Purchased $46,500 Market Livestock sold $81,660 Seed purchased $6,240 Repairs...
Megalopolis Bank has the following balance sheet and income
statement.
For Megalopolis, calculate:
Return on equity
Return on assets
Asset utilization
Equity multiplier
Profit margin
Interest expense ratio
Provision for loan loss ratio
Noninterest expense ratio
Tax ratio
Balance Sheet (in millions) Assets Liabilities and Equity Cash and due Demand from banks $ 9,000 deposits $ 19,000 Investment securities 23,000 NOW accounts 89,000 Repurchase agreements 42,000 Retail CDs 28,000 Loans 90,000 Debentures 19,000 Fixed assets 15,000 Total liabilities $155,000...
Use
the following information to calculate value of farm production,
total farm operating expenses, interest expense, net farm income
from operations and owner’s equity. Use the value of farm
production format.
Crop sales of new crop Crop sales of old crop Change in crop inventory from 1/10 to 12/10 Change in accounts payable from 1/10 to 12/10 Change in accounts receivable from 1/10 to 12/10 Government payments received in 2010 Cash received for sale of tractor Market livestock purchases Feed...
The balance sheet and income statement for the A. Thiel Mfg.
Company are as follows. Calculate the ratios at the
bottom.
Cash $ 500 Accounts receivable 2,000 Inventories 1,000 Current assets $3,500 Net fixed assets 4,500 Total assets $8,000 Accounts payable $1,100 Accrued expenses 600 Short-term notes payable 300 Current liabilities $2,000 Long-term debt 2,000 Owners' equity 4,000 Total liabilities and owners' equity $8,000 Income Statement ($000) Sales (all credit) $8,000 Cost of goods sold (3,300) Gross profit $4,700 Operating...
Use the following balance sheet and income statement to calculate the firm's return on equity (net income / common equity): Balance Sheet Income Statement Assets: Cash $3,000 Sales (all credit) $85,000 Accounts Receivable 5,000 Cost of Goods Sold (51,000) Inventories 6,500 Land 20,000 Operating Expenses (15,000) Other Fixed Assets 18,000 Depreciation (1,000) Liabilities & Owners' Equity Interest Expense (3,000) Accounts Payable 4,000 Long Term Debt 26,700 Taxes (5,100) Common Stock 5,000 Paid in Capital 12,000 Retained Earnings 4,800 50.4% 45.4%...
Calculate the Following Ratios
Net
Interest Margin
Profit
Margin
ROE
ROA
Spread
Ratio
Asset
Utilization Ratio
Equity
Multiplier
Provision for loan loss ratio
Boca State Bank Income Statement Month Ending July 31, 2020 Boca State Bank Balance Sheet July 31, 2020 Income Amount($) $9,000 $4,000 Interest on fees and loans Interest on investment securities interest on reverse repos interest on deposits in other banks Total Income Assets Cash and due from banks Investment securities Reverse Repos Loans Fixed asset other...
2018 2017 Income Statement Information Sales revenue Cost of goods sold Net income $ $ 10,440,000 6,827,760 360,000 8,400,000 5,900,000 248,000 Balance Sheet Information Current assets Long-term assets $ 1,600,000 2,200,000 $ 1,500,000 1,900,000 Total assets $ 3,800,000 $ 3,400,000 $ Current liabilities Long-term liabilities Common stock Retained earnings 1.200,000 1,500,000 800,000 300,000 900.000 1,500,000 800,000 200,000 Total liabilities and stockholders' equity 3,800,000 $ 3,400,000 Required: 1. Calculate the following profitability ratios for 2018 (Round your answers to 1 decimal...
(Calculating financial ratios) The balance sheet and income statement for the J·P. Robard Mig. Company are as follows:囲. Calculate the following ratios: Current ratio Times interest earned Inventory turnover Total asset turnover Operating profit margin Operating return on assets Debt ratio Average collection period Fixed asset turnover Return on equity P. Robard Mfg., Inc. J. Balance Sheet ($000) $500 2,000 1,000 $3,500 4,500 $8,000 Cash Accounts receivable Inventories Current assets Net fixed assets Total assets Accounts payable Accrued expenses Short-term...