Amounts are in thousands of dollars (except number of shares and price per share): Kiwi Fruit Company Balance Sheet Cash and equivalents $570 Operating assets 650 Property, plant, and equipment 2,700 Other assets 110 Total assets $ 4,030 Current liabilities $920 Long-term debt 1,280 Other liabilities 120 Total liabilities $2,320 Paid in capital $340 Retained earnings 1,370 Total equity $1,710 Total liabilities and equity $4,030 Kiwi Fruit Company Income Statement Net sales $7,800 Cost of goods sold -5,900 Gross profit $1,900 Operating expense -990 Operating income $910 Other income 70 Net interest expense -250 Pretax income $730 Income tax -200 Net income $530 Earnings per share $2.00 Shares outstanding 265,000 Recent price $34.50 Kiwi Fruit Company Cash Flow Statement Net income $530 Depreciation and amortization 175 Increase in operating assets -90 Decrease in current liabilities -120 Operating cash flow $495 Net (purchase) sale of property $180 Increase in other assets -80 Investing cash flow $100 Net (redemption) issuance of LTD -$190 Dividends paid -220 Financing cash flow -$410 Net cash increase $185 Calculate ROA and ROE for Kiwi Fruit. (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.)
Amounts are in thousands of dollars (except number of shares and price per share): Kiwi Fruit Company Balance Sheet Cash and equivalents $570 Operating assets 650 Property, plant, and equipment 2,700 Other assets 110 Total assets $ 4,030 Current liabilities $920 Long-term debt 1,280 Other liabilities 120 Total liabilities $2,320 Paid in capital $340 Retained earnings 1,370 Total equity $1,710 Total liabilities and equity $4,030 Kiwi Fruit Company Income Statement Net sales $7,800 Cost of goods sold -5,900 Gross profit $1,900 Operating expense -990 Operating income $910 Other income 70 Net interest expense -250 Pretax income $730 Income tax -200 Net income $530 Earnings per share $2.00 Shares outstanding 265,000 Recent price $34.50 Kiwi Fruit Company Cash Flow Statement Net income $530 Depreciation and amortization 175 Increase in operating assets -90 Decrease in current liabilities -120 Operating cash flow $495 Net (purchase) sale of property $180 Increase in other assets -80 Investing cash flow $100 Net (redemption) issuance of LTD -$190 Dividends paid -220 Financing cash flow -$410 Net cash increase $185 Calculate ROA and ROE for Kiwi Fruit. (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.)
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Transcribed Image Text:Amounts are in thousands of dollars (except number of shares and price per share): Kiwi Fruit Company Balance Sheet
Cash and equivalents $570 Operating assets 650 Property, plant, and equipment 2,700 Other assets 110 Total assets $
4,030 Current liabilities $920 Long-term debt 1,280 Other liabilities 120 Total liabilities $2,320 Paid in capital $340
Retained earnings 1,370 Total equity $1,710 Total liabilities and equity $4,030 Kiwi Fruit Company Income Statement
Net sales $7,800 Cost of goods sold -5,900 Gross profit $1,900 Operating expense -990 Operating income $910 Other
income 70 Net interest expense -250 Pretax income $730 Income tax -200 Net income $530 Earnings per share $2.00
Shares outstanding 265,000 Recent price $34.50 Kiwi Fruit Company Cash Flow Statement Net income $530
Depreciation and amortization 175 Increase in operating assets -90 Decrease in current liabilities -120 Operating cash
flow $495 Net (purchase) sale of property $180 Increase in other assets -80 Investing cash flow $100 Net (redemption)
issuance of LTD -$190 Dividends paid -220 Financing cash flow -$410 Net cash increase $185 Calculate ROA and ROE
for Kiwi Fruit. (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.)
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