Answered: Tamie Industries has $1,200,000 in…

Tamie Industries has $1,200,000 in assets and $500,000 in debt. If it earns a net income of $480,000, calculate the Return on Assets (ROA). a) 55.2% b) 40.0% c) 80.0% d) 25.6%

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 1RE: Brandt Corporation had sales revenue of 500,000 for the current year. For the year, its cost of...

See similar textbooks

Related questions

Q: Pinakin Inc. has sales of $680,000 and costs of $305,000. Interest expense is $25,000 and…

A: Step 1: Calculation of Earnings before taxEarnings before tax = Sales - Costs - Interest expense -…

Q: General Accounting

A: To determine the effect on operating income; 1. Calculate the current cost of manufacturing:Variable…

Q: What is the cost of goods manufacturing?

A: Explanation of Cost of Goods Manufactured (COGM):Cost of Goods Manufactured (COGM) represents the…

Q: None

A: Concept of Sales RevenueSales Revenue represents the total amount generated from selling goods or…

Q: None

A: Step 1: Compute annual depreciation expenses under the straight-line method by dividing the…

Q: hello teacher please solve questions

A: Step 1: Definition of Sales ReturnsA Sales Return is a reduction in revenue when customers return…

Q: What are the earnings per share of these financial accounting question?

A: Step 1: Definition of Earnings Per Share (EPS)Earnings Per Share (EPS) measures the portion of a…

Q: What is the firm's ROA ?

A: The question requires the determination of the ROA. Return on assets (ROA) is a profitability ratio…

Q: Financial Accounting

A: Step 1: Define Debt-Equity Ratio (Market Value Basis)The Debt-Equity Ratio (Market Value Basis) is a…

Q: What is the correct answer financial accounting question

A: Step 1: Define ComponentsNet Income represents the company's earnings after all expenses, including…

Q: Determine the equivalent units of production

A: Explanation of Work in Process (WIP) Inventory: This represents the partially completed units in the…

Q: ans

A: Step 1: Definition of High-Low MethodThe High-Low Method is a cost estimation technique used to…

Q: Get correct solution this financial accounting question

A: Step 1: Definition of the Units-of-Activity Depreciation MethodThe Units-of-Activity Depreciation…

Q: What is the division's margin of this financial accounting question?

A: Step 1: Definition of MarginThe margin is a profitability metric that measures how much of a…

Q: Gnomes R Us just paid a dividend of $3.22 per share. The company has a dividend payout ratio of 64…

A: To determine the stock price of Gnomes R Us, we first needed to calculate the Earnings per Share…

Q: On December 31, 2018, Blackpink Company, a financing institution lent ₱15,000,000 to YG Corp. due 3…

A: 1. Initial carrying value of loans receivable as of December 31, 2018The initial carrying value of…

Q: Hello.tutor please provide correct answer general Accounting question

A: Step 1: Define Working CapitalWorking Capital measures a company's short-term financial health and…

Q: hi expert please help me

A: ROI = Profit Margin x Investment TurnoverGiven:Profit Margin = 9% = 0.09Investment Turnover =…

Q: ?? General Accounting

A: Step 1: Define Equivalent Units of ProductionEquivalent Units of Production (EUP) is a concept used…

Q: plz answer me?

A: So, The Correct Option is E. I have given the correct answer along with an explanation. Kindly check…

Q: What is the cost of goods sold for dixon manufacturing?

A: Explanation of Beginning Finished Goods Inventory: Beginning Finished Goods Inventory represents the…

Q: What is the cost of goods sold?

A: Explanation of Perpetual Inventory System: This is a method of continuously tracking inventory…

Q: What is the net income of R&B Inc.?

A: Detailed explanation:Calculate Net Income: Sales Revenue $ 250,000Less : Sales Discounts$…

Q: What is its standard manufacturing overhead rate per unit?

A: Step 1: Calculation of total overhead Total Overhead = Variable Costs + Fixed CostsTotal Overhead =…

Q: ABC is an all-equity firm that has 44,200 shares of stock outstanding at a market price of $14.70…

A: The question requires the determination of the number of shares outstanding after share repurchase.…

Q: abc general accounting answer me?

A: Step 1: Definition of Bank ReconciliationBank reconciliation is an internal control process that…

Q: General Accounting

A: Step 1: Define Average Collection PeriodThe Average Collection Period measures the number of days a…

Q: I Need correct answer general Accounting

A: Step 1: Define Total Cost to be Accounted ForTotal cost to be accounted for in a department's cost…

Q: help me to solve this questions

A: Step 1:The straight-line method is the easiest method to calculate the depreciation expense. It is…

Q: If you give me wrong answer this financial accounting question I will give you unhelpful rate

A: Step 1: Understanding the Given Information:Purchase date: August 1, 2022Total cost:…

Q: Contribution margin

A: Explanation of Contribution Margin:Contribution margin represents the portion of sales revenue that…

Q: Problem related general Accounting

A: Concept of Owner's EquityOwner's equity represents the owner's financial interest in a business,…

Q: Given correct answer general Accounting question

A: Step 1: Define Net IncomeNet income is the profit earned by a company after deducting all expenses,…

Q: General Accounting Question

A: Step 1: Definition of Incremental Cost or SavingsThe incremental cost or savings refers to the…

Q: choose best answer me

A: Detailed explanation:Total Variable Costs, $80,000Total Fixed Costs, $120,000 Selling Price, $…

Q: General Accounting

A: Step 1: Contribution margin ratio Basis: Sales so the sales ratio is 100%Contribution margin ratio =…

Q: What is the company's plantwide overhead rate? Please given correct answer

A: Step 1: Definition of Plantwide Overhead RateThe plantwide overhead rate is a single overhead rate…

Q: Need answer the general accounting question please solve

A: Step 1: Define Absorption Costing Per UnitAbsorption costing is a method that includes both variable…

Q: Kindly help me with this question

A: KEY CONCEPTS:1. Taxable Income Components: - Operating Income (fully taxable) - Interest Received…

Q: hi expert please help me financial accounting

A: Step 1: Definition of Profit Margin Profit Margin is calculated as net profit divided by net sale…

Q: General accounting question

A: How to determine which shares to sell and calculate the gain:Identify the Highest Cost Basis Shares:…

Q: answer plz

A: Step 1: Introduction to cost of a productThe cost of a product refers to the total amount of…

Q: Calculate the sustainable growth rate

A: Sustainable Growth Rate = Return on Equity (ROE) * Retention RatioConvert percentages to…

Q: Can you please give me correct answer this financial accounting question?

A: Profit Margin= (Income from Operations / Sales) * 100After plugging in the given values we get=…

Q: From the following data

A: Concept of AssetsAssets are resources owned by a business that have economic value and can provide…

Q: financial accounting

A: Step 1: Definition of Price-Earnings (P/E) RatioThe price-earnings ratio (P/E ratio) is a financial…

Q: General accounting

A: Step 1: Definition of Return on Equity (ROE)Return on Equity (ROE) measures a company's…

Q: The increase in the company plan

A: Beginning Plan Assets + Expected Return on Plan Assets + Employer Contributions - Benefits Paid =…

Q: Can you help me with accounting questions

A: Step 1: Definition of Cost per Equivalent UnitCost per equivalent unit refers to the cost assigned…

Q: Accurate Answer

A: Calculation of the Predetermined Overhead RatePredetermined Overhead Rate = Estimated Total…

Question

100%

What is the Return on Assets of this general accounting question?

Tamie Industries has $1,200,000 in assets and $500,000 in debt. If
it earns a net income of $480,000, calculate the Return on Assets
(ROA).
a) 55.2%
b) 40.0%
c) 80.0%
d) 25.6%

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Similar questions

What are the annual sales for smith industries on these financial accounting question?
ACME Corp’s balance sheet reported that it had $650,000 in liabilities and $275,000 in equity. On the income statement the company had revenues of $867,030 and expenses (excluding depreciation) of $356,240. Depreciation was $103,456 and interest expense of $52,423. Assuming a 40% tax rate, what was the company's return on assets?
16. In December 2020, Remal Co. had AED 200 million debt, AED 40 million in operating income, interest expense AED 4 million, AED 450 million in total assests and tax rate 35 percent. The ROA ratio is: ROA= Net Income + Interest exp Total assets.
Delta GMBH’s ROE is 8.9 percent. Sales are $2,956,000.00. Total debt ratio is 0.3743. Total debt is $964,000.00. Determine the return on assets (ROA).
Lone Star Plastics has the following data:Total Assets: R100,000 ; Net Profit margin: 6.0%;Tax rate: 40% ; Debt ratio: 40.0% of which 30% is interest bearing debt;Interest rate: 8.0% : Total assets turnover: 3.0.Calculate Lone Star's EBIT (Earnings before Interest and Tax).
Answer this Financial Accounting
What is the return of assets
Nelson Ltd reported a total asset of $600,000, and a net profit of $90,000, while their current liabilities stood at $320,000 for 2021 financial period. If current assets are 40% of the total assets, what is the current ratio for Nelson Ltd? 0.75 1.88 0.53 1.33
What is the return on assets of this accounting question?
Estimate the gross income for Bling Enterprises, which reports a CFAT of $2.5 million, $900,000 in expenses, $900,000 in depreciation charges, and has an effective tax rate of 26.4%.
BSO, Inc., has assets of $600,000 and liabilities of $450,000, resulting in a debt-to-assets ratioof 0.75. For each of the following transactions, determine whether the debt-to-assets ratio willincrease, decrease, or remain the same. Each item is independent.a. Purchased $20,000 of new inventory on credit.b. Paid accounts payable in the amount of $50,000.c. Recorded accrued salaries in the amount of $100,000.d. Borrowed $250,000 from a local bank, to be repaid in 90 days.
The Jordan Company has net income of $73, 500, with sales of $3, 159, 155. Total assets are $560,000, total receivable are $84,000, and the debt - equity ratio is 0.65. What is Jordan's ROE