Green Grass, Inc., has sales of $573,000, costs of $284,000, depreciation expense of $32,000, interest expense of $13,000, and a tax rate of 32 percent. (Do not include the dollar sign ($).) If the firm paid out $55,000 in cash dividends, the addition to retained earnings is $ _____ .
Financial Ratios
A Ratio refers to a figure calculated as a reference to the relationship of two or more numbers and can be expressed as a fraction, proportion, percentage, or the number of times. When the number is determined by taking two accounting numbers derived from the financial statements, it is termed as the accounting ratio.
Return on Equity
The Return on Equity (RoE) is a measure of the profitability of a business concerning the funds by its stockholders/shareholders. ROE is a metric used generally to determine how well the company utilizes its funds provided by the equity shareholders.
Green Grass, Inc., has sales of $573,000, costs of $284,000,
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