Global Books Inc. has the following financial data: Sales $850,000 Cost of goods sold $520,000 Profit margin 6.2% The balance sheet shows: Common stock: 400,000 (parvalue 400,000 (parvalue4 per share) Retained earnings: $750,000 If the current market price is $48.60 per share, what is the price- sales ratio?
Global Books Inc. has the following financial data: Sales $850,000 Cost of goods sold $520,000 Profit margin 6.2% The balance sheet shows: Common stock: 400,000 (parvalue 400,000 (parvalue4 per share) Retained earnings: $750,000 If the current market price is $48.60 per share, what is the price- sales ratio?
Chapter3: Evaluation Of Financial Performance
Section: Chapter Questions
Problem 2P
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Transcribed Image Text:Global Books Inc. has the following financial data:
Sales
$850,000
Cost of goods sold $520,000
Profit margin
6.2%
The balance sheet shows:
Common stock: 400,000 (parvalue 400,000 (parvalue4 per
share)
Retained earnings: $750,000
If the current market price is $48.60 per share, what is the price-
sales ratio?
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