1. 1. Follies Bookstore, the only bookstore close to campus, had net income in 2005 of $90,000. Here are some of the financial ratios from the annual report. Profit Margin Return on Assets Debt to Asset Ratio 12% 20% 55% Using these ratios, calculate the following for Follies Bookstore: a) Sales b) Total assets c) Total asset turnover d) Total debt e) Stockholders' equity f) Return on equity

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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1. 1. Follies Bookstore, the only bookstore close to campus, had net income in 2005 of
$90,000. Here are some of the financial ratios from the annual report.
Profit Margin
Return on Assets
Debt to Asset Ratio
12%
20%
55%
Using these ratios, calculate the following for Follies Bookstore:
a) Sales
b) Total assets
c) Total asset turnover
d) Total debt
e) Stockholders' equity
f) Return on equity
Transcribed Image Text:1. 1. Follies Bookstore, the only bookstore close to campus, had net income in 2005 of $90,000. Here are some of the financial ratios from the annual report. Profit Margin Return on Assets Debt to Asset Ratio 12% 20% 55% Using these ratios, calculate the following for Follies Bookstore: a) Sales b) Total assets c) Total asset turnover d) Total debt e) Stockholders' equity f) Return on equity
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