purchase treasury stock. The following financial information is available for Martinez Company for the years 2025 and 2024. 2025 $9,100,000 2,590,500 510,000 724,500 1,036,200 350,000 350,000 14,500,000 18,500,000 16,500,000 19.375,000 Total liabilities (year-end) 6,046.500 3,034.000 Avg. total common stockholders equity 17,860,000 26,790,000 Sales revenue Net income Interest expense Tax expense Dividends paid on common stock Dividends paid on preferred stock Total assets (year-end) Average total assets (1) (2) 2024 $9,100,000 2,983,750 160,000 (a) Use the information above to calculate the following ratios for both years: (Round answers to 1 decimal place, eg. 12.5 or 12.5%) Return on assets Return on common stockholders uit 968,250 1.253,175 2025 2024
purchase treasury stock. The following financial information is available for Martinez Company for the years 2025 and 2024. 2025 $9,100,000 2,590,500 510,000 724,500 1,036,200 350,000 350,000 14,500,000 18,500,000 16,500,000 19.375,000 Total liabilities (year-end) 6,046.500 3,034.000 Avg. total common stockholders equity 17,860,000 26,790,000 Sales revenue Net income Interest expense Tax expense Dividends paid on common stock Dividends paid on preferred stock Total assets (year-end) Average total assets (1) (2) 2024 $9,100,000 2,983,750 160,000 (a) Use the information above to calculate the following ratios for both years: (Round answers to 1 decimal place, eg. 12.5 or 12.5%) Return on assets Return on common stockholders uit 968,250 1.253,175 2025 2024
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter5: The Income Statement And The Statement Of Cash Flows
Section: Chapter Questions
Problem 16E
Related questions
Question
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![pany ma
purchase treasury stock. The following financial information is available for Martinez Company for the years 2025 and 2024.
Sales revenue
Net income
Interest expense
Tax expense
(a)
Dividends paid on common stock
Dividends paid on preferred stock
350,000
Total assets (year-end)
14,500,000 18,500,000
Average total assets
16,500,000 19,375,000
Total liabilities (year-end)
6,046,500
3,034,000
Avg. total common stockholders' equity 17,860,000
26,790,000
(1) Return on assets
(2)
(3)
(4)
(5)
Use the information above to calculate the following ratios for both years: (Round answers to 1 decimal place, eg. 12.5 or 12.5%)
2025
2024
$9,100,000
$9,100,000
2,590,500 2,983,750
160,000
968,250
Payout ratio
510,000
Debt to assets ratio.
724,500
Times interest earned
Return on common stockholders' equity
1,036,200
1,253,175
350,000
2025
%
%
%
%
times
2024
%
%
***
times](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F6ebcfa6a-6e4b-4125-bc88-71ab5b3e281c%2Fa5d40fc2-4afe-4ea8-a3fc-94065e7b6641%2F2zx7z69_processed.jpeg&w=3840&q=75)
Transcribed Image Text:pany ma
purchase treasury stock. The following financial information is available for Martinez Company for the years 2025 and 2024.
Sales revenue
Net income
Interest expense
Tax expense
(a)
Dividends paid on common stock
Dividends paid on preferred stock
350,000
Total assets (year-end)
14,500,000 18,500,000
Average total assets
16,500,000 19,375,000
Total liabilities (year-end)
6,046,500
3,034,000
Avg. total common stockholders' equity 17,860,000
26,790,000
(1) Return on assets
(2)
(3)
(4)
(5)
Use the information above to calculate the following ratios for both years: (Round answers to 1 decimal place, eg. 12.5 or 12.5%)
2025
2024
$9,100,000
$9,100,000
2,590,500 2,983,750
160,000
968,250
Payout ratio
510,000
Debt to assets ratio.
724,500
Times interest earned
Return on common stockholders' equity
1,036,200
1,253,175
350,000
2025
%
%
%
%
times
2024
%
%
***
times
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