Use the following information to answer this question: Windswept, Incorporated 2021 Income Statement ($ in millions) Net sales $ 9,400 Cost of goods sold 7,650 Depreciation 440 Earnings before interest and taxes $ 1,310 Interest paid 88 Taxable income $ 1,222 Taxes 257 Net income $ 965 Windswept, Incorporated 2020 and 2021 Balance Sheets ($ in millions) 2020 2021 2020 2021 Cash $ 220 $ 255 Accounts payable $ 1,490 $ 1,595 Accounts received 990 890 Long-term debt 1,010 1,335 Inventory 1,660 1,655 Common stock 3,240 2,970 Total $ 2,870 $ 2,800 Retained earnings 530 780 Net fixed assets 3,400 3,880 Total assets $ 6,270 $ 6,680 Total liabilities & equity $ 6,270 $ 6,680 What is the return on equity for 2021?
Use the following information to answer this question: Windswept, Incorporated 2021 Income Statement ($ in millions) Net sales $ 9,400 Cost of goods sold 7,650 Depreciation 440 Earnings before interest and taxes $ 1,310 Interest paid 88 Taxable income $ 1,222 Taxes 257 Net income $ 965 Windswept, Incorporated 2020 and 2021 Balance Sheets ($ in millions) 2020 2021 2020 2021 Cash $ 220 $ 255 Accounts payable $ 1,490 $ 1,595 Accounts received 990 890 Long-term debt 1,010 1,335 Inventory 1,660 1,655 Common stock 3,240 2,970 Total $ 2,870 $ 2,800 Retained earnings 530 780 Net fixed assets 3,400 3,880 Total assets $ 6,270 $ 6,680 Total liabilities & equity $ 6,270 $ 6,680 What is the return on equity for 2021?
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
Problem 1PS
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Use the following information to answer this question:
| Windswept, Incorporated | |
| 2021 Income Statement | |
| ($ in millions) | |
| Net sales | $ 9,400 |
|---|---|
| Cost of goods sold | 7,650 |
| 440 | |
| Earnings before interest and taxes | $ 1,310 |
| Interest paid | 88 |
| Taxable income | $ 1,222 |
| Taxes | 257 |
| Net income | $ 965 |
| Windswept, Incorporated | |||||
| 2020 and 2021 |
|||||
| ($ in millions) | |||||
| 2020 | 2021 | 2020 | 2021 | ||
|---|---|---|---|---|---|
| Cash | $ 220 | $ 255 | Accounts payable | $ 1,490 | $ 1,595 |
| Accounts received | 990 | 890 | Long-term debt | 1,010 | 1,335 |
| Inventory | 1,660 | 1,655 | Common stock | 3,240 | 2,970 |
| Total | $ 2,870 | $ 2,800 | 530 | 780 | |
| Net fixed assets | 3,400 | 3,880 | |||
| Total assets | $ 6,270 | $ 6,680 | Total liabilities & equity | $ 6,270 | $ 6,680 |
What is the
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