Assume a company's Income Statement for Year 9 is as follows: Year 9 (in 000s) Income Statement Data Total Revenues Cost of Goods Sold Delivery Costs Marketing Costs Administrative Expenses Operating Profit (Loss) Other Income (Expense) Interest Income (Expense) Pre-tax Profit (Loss) Income Taxes Net Profit (Loss) $ 650,000 380,000 45,000 53,000 11,000 161,000 -2,600 -10,800 147,600 44,280 $ 103,320 Based on the above income statement data, the company's interest coverage ratio anc operating profit margin are 14.91 and 24.8%. 17.22 and 24.6%. 19.29 and 21.4%. 16.71 and 23.3%. 13.67 and 15.9%.

Assume a company's Income Statement for Year 9 is as follows: Year 9 (in 000s) Income Statement Data Total Revenues Cost of Goods Sold Delivery Costs Marketing Costs Administrative Expenses Operating Profit (Loss) Other Income (Expense) Interest Income (Expense) Pre-tax Profit (Loss) Income Taxes Net Profit (Loss) $ 650,000 380,000 45,000 53,000 11,000 161,000 -2,600 -10,800 147,600 44,280 $ 103,320 Based on the above income statement data, the company's interest coverage ratio anc operating profit margin are 14.91 and 24.8%. 17.22 and 24.6%. 19.29 and 21.4%. 16.71 and 23.3%. 13.67 and 15.9%.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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a company has net sales of 814100 and cost of goods sold of 588100 its net income is 32410 the company’s gross margin and operating expenses respectively
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