Calculate the profitability ratio which includes gross profit margin, operating profit margin, net profit margin, and NOPAT margin

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
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c. Calculate the profitability ratio which includes gross profit margin, operating profit margin, net profit margin, and NOPAT margin
2019
2020
Cash
Account receivables
Inventories
Total current assets
Gross fixed assets
Accumulated depreciation
Net fixed assets
Total Assets
$
39.000 $
16.000
$
50.000 $
80.000
151.000 $
204.000
240.000 $
300.000
$
200.000 $
290.000
$
-95.000 $
-125.000
$
105.000 $
165.000
$
345.000 $
465.000
Accounts Payable
Bank loan
Accrued liabilities
Total current liabilities
Long term debt
30.000 $
45.000
$
20.000 $
27.000
$
10.000 $
23.000
60.000 $
15.000 $
95.000
15.000
Common stock
$
85.000 $
120.000
Retained earnings
Total liabilities and equity
185.000 $
235.000
$
345.000 $
465.000
Transcribed Image Text:2019 2020 Cash Account receivables Inventories Total current assets Gross fixed assets Accumulated depreciation Net fixed assets Total Assets $ 39.000 $ 16.000 $ 50.000 $ 80.000 151.000 $ 204.000 240.000 $ 300.000 $ 200.000 $ 290.000 $ -95.000 $ -125.000 $ 105.000 $ 165.000 $ 345.000 $ 465.000 Accounts Payable Bank loan Accrued liabilities Total current liabilities Long term debt 30.000 $ 45.000 $ 20.000 $ 27.000 $ 10.000 $ 23.000 60.000 $ 15.000 $ 95.000 15.000 Common stock $ 85.000 $ 120.000 Retained earnings Total liabilities and equity 185.000 $ 235.000 $ 345.000 $ 465.000
2019
2020
Net sales
COGS
Gross profit
Operating expenses
Depreciation
375.000 $
450.000
$
-225.000 $
-270.000
150.000 $
180.000
-46.000 $
-46.000
$
-25.000 $
-30.000
Interest
-4.000 $
-4.000
EBIT
75.000 $
100.000
Income taxes
-20.000 $
-30.000
Net income
$
55.000 $
70.000
Cash dividends
17.000 $
20.000
Transcribed Image Text:2019 2020 Net sales COGS Gross profit Operating expenses Depreciation 375.000 $ 450.000 $ -225.000 $ -270.000 150.000 $ 180.000 -46.000 $ -46.000 $ -25.000 $ -30.000 Interest -4.000 $ -4.000 EBIT 75.000 $ 100.000 Income taxes -20.000 $ -30.000 Net income $ 55.000 $ 70.000 Cash dividends 17.000 $ 20.000
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