Question
In: Finance
Jolie Foster Care Homes Inc. shows the following data: Year Net Income Total Assets Stockholders'...
Jolie Foster Care Homes Inc. shows the following data:
| Year | Net Income | Total Assets |
Stockholders' Equity |
Total Debt | ||||
| 20X1 | $ | 200,000 | $ | 2,520,000 | $ | 1,550,000 | $ | 970,000 |
| 20X2 | 189,000 | 2,630,000 | 1,710,000 | 920,000 | ||||
| 20X3 | 137,000 | 2,120,000 | 1,470,000 | 650,000 | ||||
| 20X4 | 132,000 | 2,270,000 | 1,650,000 | 620,000 | ||||
a-1. Compute the ratio of net income to total
assets for each year. (Input your answers as a percent
rounded to 2 decimal places.)
| year | return on assets |
|
2011 |
% |
| 2012 | % |
| 2013 | % |
| 2014 | % |
a-2. What is the trend in the net income to total assets ratio?
a. Strong downward movement
b. Strong upward movement
b-1. Compute the ratio of net income to
stockholders' equity for each year. (Input your answers as
a percent rounded to 2 decimal places.)
| Year | Returns on stockholder's Equity |
|---|---|
| 20x1 | % |
| 20X2 | % |
| 20X3 | % |
| 20X4 | % |
b-2. What is the trend in the net income to
stockholders' equity ratio?
a. Strong downward movement
b. Strong upward movement
Solutions
jeff jeffy answered 2 years agoRelated Solutions
Jolie Foster Care Homes Inc. shows the following data: Year Net Income Total Assets Stockholders'...
Jolie Foster Care Homes Inc. shows the following data:
Year
Net Income
Total
Assets
Stockholders'
Equity
Total Debt
20X1
$
155,000
$
2,390,000
$
761,000
$
1,629,000
20X2
191,000
2,700,000
966,000
1,734,000
20X3
208,000
2,730,000
1,770,000
960,000
20X4
192,000
2,470,000
2,220,000
250,000
compute the ratio of net income to total assets for each year.
round to 2 decimal place and compute the ratio of net income to
stockholders equity for each year.
Jolie Foster Care Homes Inc. shows the following data: Year Net Income Total Assets Stockholders'...
Jolie Foster Care Homes Inc. shows the following data:
Year
Net Income
Total
Assets
Stockholders'
Equity
Total Debt
20X1
$
155,000
$
2,390,000
$
761,000
$
1,629,000
20X2
191,000
2,700,000
966,000
1,734,000
20X3
208,000
2,730,000
1,770,000
960,000
20X4
192,000
2,470,000
2,220,000
250,000
Compute the ratio of net income to total assets for each year.
(round to 2 decimal place)
Year Return on Assets
20X1 %
20X2 %
20X3 %
20X4 %
Compute the ratio of net income to stockholders...
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(a) Last year A Corp and $195,000 of assets, $18,775 of net
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new CEO convinces the president to increase the debt ratio to $48.
Sales and total assets will not be affected but interest expenses
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Holding assets constant, when debt decreases Net income increases and Stockholders' equity declines Net income and...
Holding assets constant, when debt decreases
Net income increases and Stockholders' equity declines
Net income and Stockholders' equity decline
Net income declines
and Stockholders' equity increases
Cannot be determined from the information provided
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TSW Inc. had the following data for last year: Net income = $800; Net operating profit...
TSW Inc. had the following data for last year: Net income =
$800; Net operating profit after taxes (NOPAT) = $700; Total assets
= $3,000; and Total operating capital = $2,000. Information for the
just-completed year is as follows: Net income = $1,000; Net
operating profit after taxes (NOPAT) = $925; Total assets = $2,600;
and Total operating capital = $2,500. How much free cash flow did
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For each transaction below, write the net effect on Current Assets (CA), Total Assets, Net Income...
For each transaction
below, write the net effect on Current Assets (CA), Total Assets,
Net Income Before Taxes (NI pretax), Cash flows from operating
activities (CFO), and Cash flows from investing activities
(CFI).
Write only the effect for the current period.
Assume the company is a merchandising firm.
If the net effect is negative, include a negative sign. If no
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For CFO and CFI, positive net inflows are positive, net cash
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For classifying interest...
Parks Inc. had the following data for the year ending 12/31/2x: Net income = $300; Net...
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Total assets = $2,500; Short-term investments = $200; Shareholders’
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Tibbs Inc. had the following data for the year ending 12/31/18:Net income = $600; Net...
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Company had $25,000,000 in sales last year. The company's net
income was $875,000. Its total assets equal $8,000,000. The
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A. 31.6%
B. 3.5%
C. 10.9%
D. 14.6%
E. 64.4%
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