Answered: Sterling Enterprises reported net…

Sterling Enterprises reported net income of $30,000, net sales of $500,000, and average assets of $750,000. What is the profit margin ratio? a. 6% b. 10% c. 15% d. 12%

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter15: Financial Statement Analysis

Section: Chapter Questions

Problem 51E: Juroe Company provided the following income statement for last year: Juroes balance sheet as of...

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Question

100%

What is the profit margin ratio of this general accounting question?

Sterling Enterprises reported net income of $30,000, net sales of $500,000, and
average assets of $750,000.
What is the profit margin ratio?
a. 6%
b. 10%
c. 15%
d. 12%

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