Return on Assets Ratio and Asset Turnover Ratio Northern Systems reported the following financial data (in millions) in its annual report: 2018 2019 Net Income $9,050 $7,500 Net Sales 52,350 37,200 Total Assets 58,734 68,128 If the company’s total assets are $55,676 in 2017, calculate the company’s: (a) return on assets (round answers to one decimal place - ex: 10.7%) (b) asset turnover for 2018 and 2019 (round answers to two decimal places) 2018 2019 a. Return on Assets Ratio b. Asset Turnover Ratio
Return on Assets Ratio and Asset Turnover Ratio Northern Systems reported the following financial data (in millions) in its annual report: 2018 2019 Net Income $9,050 $7,500 Net Sales 52,350 37,200 Total Assets 58,734 68,128 If the company’s total assets are $55,676 in 2017, calculate the company’s: (a) return on assets (round answers to one decimal place - ex: 10.7%) (b) asset turnover for 2018 and 2019 (round answers to two decimal places) 2018 2019 a. Return on Assets Ratio b. Asset Turnover Ratio
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 52CE: Asset Efficiency Ratios Selected financial statement numbers for Rutherford Company follow....
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Return on Assets Ratio and Asset Turnover Ratio
Northern Systems reported the following financial data (in millions) in its annual report:
| 2018 | 2019 | |
|---|---|---|
| Net Income | $9,050 | $7,500 |
| Net Sales | 52,350 | 37,200 |
| Total Assets | 58,734 | 68,128 |
If the company’s total assets are $55,676 in 2017, calculate the company’s:
(a) return on assets (round answers to one decimal place - ex: 10.7%)
(b) asset turnover for 2018 and 2019 (round answers to two decimal places)
| 2018 | 2019 | ||
|---|---|---|---|
| a. | Return on Assets Ratio | ||
| b. | Asset Turnover Ratio |
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