RETURN ON ASSETS

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School

Temple University *

*We aren’t endorsed by this school

Course

102

Subject

Finance

Date

Jan 9, 2024

Type

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Pages

1

Uploaded by DeanUniverseStork32

Report
Cyberdyne Systems and Virtucon are competitors focusing on the latest technologies. Selected financial data is provided below. ($ in millions) Cyberdyne Virtucon Net sales $47,905 $8,484 Net income 12,455 1,782 Operating cash flows 16,065 1,900 Total assets, beginning 66,905 17,984 Total assets, ending 68,905 17,684 Required: 1. Calculate the return on assets for both companies. 2. Calculate the cash return on assets for both companies. 3. Calculate the cash flow to sales ratio and the asset turnover ratio for both companies. 4. Which company has the more favorable ratios? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Calculate the return on assets for both companies. Note: Round your answers to 1 decimal place. Enter your answers in millions (i.e., $10,100,000 should be entered as 10.1). ($ in millions) Return on Assets [ Numerator + Denominator J Amounts Cyberdyne Virtucon = =
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